ORS
sections in this chapter were amended or repealed by the Legislative Assembly
during its 2014 regular session. See the table of ORS sections amended or
repealed during the 2014 regular session: 2014
A&R Tables

646A.806 Website
with photographs and information about arrested persons; requirement to remove
photographs and information upon request; penalty

646A.010 [Formerly
646.185; repealed by 2009 c.170 §4]

646A.012 [Formerly
646.187; repealed by 2009 c.170 §4]

646A.014 [Formerly
646.189; repealed by 2009 c.170 §4]

646A.016 [Formerly
646.191; repealed by 2009 c.170 §4]

646A.018 [Formerly
646.193; repealed by 2009 c.170 §4]

646A.020 [Formerly
646.195; repealed by 2009 c.170 §4]

SALES

(Health
Spas)

646A.030
Definitions for ORS 646A.030 to 646A.042. As used in ORS 646A.030 to
646A.042, unless the context requires otherwise:

(1)
“Business day” means any day except a Sunday or a legal holiday.

(2)
“Buyer” means a person who purchases health spa services.

(3)
“Conspicuous” has the meaning given that term in ORS 71.2010 (2)(j).

(4)
“Health spa” means any person engaged, as a primary purpose, in the sale of
instruction, training, assistance or use of facilities that are purported to
assist patrons in physical exercise, weight control or figure development. The
term also includes any person engaged primarily in the sale of the right or
privilege to use tanning booths, exercise equipment or facilities, such as a
sauna, whirlpool bath, weight-lifting room, massage, steam room, or other
exercising machine or device. “Health spa” does not include any facility owned
and operated by the State of Oregon or any of its political subdivisions.

(6)
“Person” has the meaning given that term in ORS 646.605 (4). [Formerly 646.661;
2009 c.181 §106]

646A.032
Price list for health spa services. (1) Each health spa shall prepare and
provide to each prospective buyer a written list of prices of all forms or
plans of health spa services offered for sale by the health spa.

(2)
A health spa may not sell any form or plan of health spa services not included
in the list. [Formerly 646.666]

646A.034
Contracts; contents.
A contract for the sale of health spa services must be in writing and a copy
must be given to the buyer at the time the buyer signs the contract. The
contract must contain all of the following:

(1)
Identification of the person providing the health spa services.

(2)
A description of the health spa services to be provided, or acknowledgment in a
conspicuous form that the buyer has received a written description of the
health spa services to be provided. If any of the health spa services are to be
delivered at a planned facility, at a facility under construction or through
substantial improvement to an existing facility, the description must include a
date for the completion of the facility, construction or improvement.

(3)
A complete statement of the rules of the health spa or an acknowledgment in a
conspicuous form that the buyer has received a copy of the rules.

(4)
A statement of the duration of the obligation of the health spa to provide
health spa services to the buyer. The duration shall not exceed three years
from the date of the contract.

(5)
A provision for cancellation of the contract:

(a)
If the buyer dies or becomes physically unable to use a substantial portion of
those health spa services used by the buyer from the date of the contract until
the time of disability. The contract may require that disability be confirmed
by an examination of a physician agreeable to the buyer and the health spa.

(b)
If the health spa goes out of business.

(c)
If the health spa moves its facility closest to the residence of the buyer on
the date of the contract to a location more than five additional miles from
that residence.

(d)
If a facility, construction or improvement is not completed by the date
represented in the contract.

(e)
If the health spa materially changes the health spa services promised as a part
of the initial contract.

(6)
A provision for a refund upon cancellation in an amount computed by dividing
the contract price by the number of weeks in the contract term and multiplying
the result by the number of weeks remaining in the contract term.

(7)
A provision under a conspicuous caption in capital letters and boldfaced type
stating:

If
you wish to cancel this contract, without penalty, you may cancel it by
delivering or mailing a written notice to the health spa. The notice must say
that you do not wish to be bound by the contract and must be delivered or
mailed before midnight of the third business day after you sign this contract.
The notice must be mailed to: _________(insert name and mailing address of
health spa). If you cancel within the three days, the health spa will return to
you within 15 days all amounts you have paid.

646A.036
Contracts and rules; delivery to buyer. Upon request, a health spa must deliver
to a prospective buyer copies of the contract required by ORS 646A.034, and the
rules of the health spa if not stated in the contract, and must allow the
prospective buyer to retain the copies so provided. [Formerly 646.676]

646A.038
Moneys paid prior to facility opening; disposition; priority of claim; refund. (1) All moneys
paid to a health spa by a buyer prior to the opening of the facility shall
promptly be deposited by the health spa in a trust account, maintained by the
health spa for the purpose of holding such moneys for the buyer, in a bank,
savings and loan association, mutual savings bank or licensed escrow agent
located in Oregon.

(2)
The health spa shall within seven days of the first deposit notify the office
of the Attorney General, in writing, of the name, address and location of the
depository and any subsequent change thereof.

(3)
The health spa shall provide the buyer with a written receipt for the moneys
and shall provide written notice of the name, address and location of the
depository and any subsequent change thereof.

(4)
If prior to the opening of the facility the status of the health spa is
transferred to another, any sums in the trust account affected by such transfer
shall simultaneously be transferred to an equivalent trust account of the
successor, and the successor shall promptly notify the buyer and the office of
the Attorney General of the transfer and of the name, address and location of
the new depository.

(5)
The buyer’s claim to any moneys under this section is prior to that of any
creditor of the health spa, including a trustee in bankruptcy or receiver, even
if such moneys are commingled.

(6)
After the health spa receives a notice of cancellation of the agreement or if
the health spa fails to open a facility at the stated date of completion the
health spa shall within 10 days give a full refund to the buyer, including the
buyer’s pro rata share of any interest earned thereon.

(7)
All sums received by a health spa in excess of the health spa’s normal monthly
dues shall be placed in escrow subject to the terms and provisions stated in
this section in the event that the health spa is not fully operational or in
the event that the health spa is promising future construction or improvements.
[Formerly 646.681]

646A.040
Waiver of provisions of ORS 646A.030 to 646A.042. A health spa
shall not request a buyer to waive any provision of ORS 646A.030 to 646A.042.
Any waiver by a buyer of any provision of ORS 646A.030 to 646A.042 is contrary
to public policy and is void and unenforceable. [Formerly 646.686]

646A.042
Remedies and obligations supplementary to existing remedies. The remedies
and obligations provided in ORS 646A.030 to 646A.042 are in addition to any
other remedies and obligations, civil or criminal, existing at common law or
under the laws of this state. [Formerly 646.691]

(Manufactured
Dwellings)

646A.050
Definitions.
As used in this section and ORS 646A.052:

(1)
“Base price” means the total retail cost of the following unless separately
disclosed as described in ORS 646A.052 (2):

(a)
The manufactured dwelling as provided by the manufacturer;

(b)
Features added by the dealer, if any;

(c)
Freight; and

(d)
Delivery and installation as stated in the purchase agreement.

(2)
“Buyer” means a person who buys or agrees to buy a manufactured dwelling.

(3)
“Improvements” means goods and services not included in the base price that
are, in general, needed to prepare a site and complete the setup of a
manufactured dwelling. “Improvements” includes, but is not limited to, permits,
site preparation, sidewalks, concrete, utility connections, skirting, steps,
railings, decks, awnings, carports, garages, sheds, gutters, downspouts, rain
drains, heat pumps, air conditioning, basements, plants and landscaping,
installation fees and system development charges.

(4)
“Manufactured dwelling” has the meaning given that term in ORS 446.003.

(5)
“Manufactured dwelling dealer” or “dealer” means a person who sells a
manufactured dwelling in a manner that makes the person subject to the license
requirement of ORS 446.671.

(6)
“Purchase agreement” means the written contract between the manufactured
dwelling dealer and the buyer for the purchase of a manufactured dwelling. “Purchase
agreement” does not include documents of a retail installment contract or loan
agreement entered into as part of the purchase transaction. [Formerly 646.400]

646A.052
Form of purchase agreement. (1) A manufactured dwelling dealer who sells a
manufactured dwelling shall use a purchase agreement form that complies with
this section and rules adopted in accordance with ORS 646A.054.

(2)
The purchase agreement shall include the base price and a written itemization
that clearly and conspicuously discloses the retail prices of the following, if
not included in the base price:

(a)
Manufactured dwelling options that are ordered by the buyer.

(b)
The amount of any refundable or nonrefundable administrative or processing fees
paid to or collected by the dealer and the circumstances under which the fees
may be returned to the buyer.

(c)
The amount of any earnest money paid and the circumstances under which the
earnest money may be returned to the buyer.

(d)
Improvements provided by the dealer, or by a third party at the request of the
dealer, to the extent known to the dealer at the time of sale. The written
itemization of improvements under this paragraph excuses the dealer from
providing the buyer with a separate statement of estimated costs under ORS
90.518 for those itemized improvements.

(e)
All loan fees and credit report fees paid to or collected by the dealer to
obtain financing for the buyer’s purchase of the manufactured dwelling and the
circumstances under which the fees may be returned to the buyer.

(f)
Alterations and upgrades to the manufactured dwelling made by the dealer or by
a third party at the request of the dealer.

(g)
Goods and services provided by the dealer, or by a third party at the request
of the dealer, that are not otherwise disclosed pursuant to this section.

(h)
Fees for the issuance or updating of an ownership document.

(i)
The extended warranty contract, if any.

(j)
Delivery, installation or site access costs that are not otherwise disclosed
pursuant to this section, if any.

(3)
The purchase agreement form must be accompanied by a list, provided by the
Department of Justice, of governmental consumer protection agencies having
jurisdiction over manufactured dwelling issues.

(4)
Failure of a manufactured dwelling dealer to use a purchase agreement form that
complies with this section and rules adopted in accordance with ORS 646A.054 is
an unlawful practice under ORS 646.608.

(5)
Except as provided in ORS 41.740, a purchase agreement is considered to contain
all of the terms of the contract between the buyer and the manufactured
dwelling dealer. No evidence of the terms of the contract may be presented
other than the contents of the purchase agreement. As used in this subsection, “contract”
does not include a retail installment contract or loan agreement entered into
as part of a purchase transaction. [Formerly 646.402]

646A.054
Rules.
The Department of Justice may adopt rules necessary and proper for the
administration and enforcement of ORS 646A.052. [Formerly 646.404]

(Purchase
of Used Goods)

646A.060
Purchase of used goods; records; application to pawnbrokers. (1) A person
doing business as a consignment store, a buy-sell store, a secondhand store or
a similar store or enterprise that in the regular course of business buys used
goods from individuals for the purpose of resale shall:

(a)
Require that the individual from whom the person buys the used goods present
proof of identification; and

(b)
Maintain a record of the name and address of the individual, the type of
identification provided by the individual, the date and a description of the
goods bought from the individual.

(2)
If the goods described in subsection (1) of this section are private metal
property or are constructed of or contain parts made of nonferrous metal
property as those terms are defined in ORS 165.116, in addition to the
requirements of subsection (1) of this section, the person shall comply with
and is subject to the penalty provided for violating a provision of ORS
165.117, 165.118 or 165.122 that is applicable to a scrap metal business as
defined in ORS 165.116.

(3)
The person shall make all records required to be maintained by subsection (1)
of this section available to any peace officer on demand.

(4)
This section does not apply to pawnbrokers licensed under ORS 726.080.

(5)
This section does not preempt, invalidate or in any way affect the operation of
any provision of a county, city or district ordinance regulating the activities
of consignment stores, buy-sell stores, secondhand stores or similar stores or
enterprises that in the regular course of business buy used goods from
individuals for the purpose of resale. [Formerly 646.848; 2009 c.811 §13]

646A.064
Definitions for ORS 646A.064 to 646A.067. As used in ORS 646A.064 to
646A.067:

(1)
“Item of precious metal” means an item that consists of or incorporates gold in
eight karat or greater purity, silver, platinum or palladium. “Item of precious
metal” does not include dental gold, unrefined metal ore, an electronic
product, any part of a mechanical system on a motor vehicle, gold or silver
coins or bullion in any form.

(2)
“Precious metal secondhand dealer”:

(a)
Means a person engaged in precious metal secondhand dealing; and

(b)
Does not include:

(A)
A pawnbroker licensed under ORS chapter 726 who engages exclusively in pledge
loans, as defined in ORS 726.010;

(E)
A motor vehicle dealer holding a certificate issued under ORS 822.020 or a
motor vehicle dismantler holding a certificate issued under ORS 822.110; or

(F)
A person primarily engaged in purchasing for resale newly manufactured items of
precious metal. For purposes of this subparagraph, a person is primarily
engaged in purchasing newly manufactured items of precious metal if the person’s
inventory of items of precious metal for resale consists exclusively of:

(i)
Newly manufactured items of precious metal acquired from a manufacturer; or

(ii)
Items described in sub-subparagraph (i) of this subparagraph and used items of
precious metal acquired for trade-in value as part of retail sales of newly
manufactured items of precious metal by the person.

(4)
“Seller” means the other party to a transaction with a precious metal
secondhand dealer.

(5)
“Temporary precious metal secondhand dealer” means a precious metal secondhand
dealer who conducts operations at one or more locations in this state for no more
than five consecutive days at any one location.

(6)
“Transaction”:

(a)
Means a purchase, consignment, bailment, barter or trade of one or more items
of precious metal by a precious metal secondhand dealer from an individual who
is not engaged in the business of selling newly manufactured items of precious
metal.

(b)
Does not include:

(A)
Gifts or other transfers of property unsupported by consideration; or

(B)
Business-to-business purchases or other transfers. [2012 c.99 §1]

646A.065
Records required for transactions involving items of precious metal;
maintenance required of precious metal secondhand dealer; retention of items of
precious metal.
(1) A precious metal secondhand dealer in this state shall maintain the
following records with respect to each transaction conducted by the dealer:

(a)
The full name, date of birth, current telephone number, current address and
signature of the seller;

(b)
The type and identification number of a currently valid government-issued photo
identification that has been issued to the seller;

(c)
A physical description of the seller; and

(d)
An identifying description or a digital photograph of each item of precious
metal that is the subject of the transaction.

(2)
A precious metal secondhand dealer in this state shall:

(a)
Maintain the records described in subsection (1) of this section for a period
of at least one year after the date of the transaction; and

(b)(A)
Maintain the records described in subsection (1) of this section at the
location at which the dealer is engaged in precious metal secondhand dealing
and allow inspection of the records by law enforcement officers upon request
made during regular business hours; or

(B)
If the dealer is a temporary precious metal secondhand dealer, maintain the records,
or electronic copies of the records, at the current location where the dealer
is engaged in precious metal secondhand dealing and allow inspection of the
records or electronic copies by law enforcement officers upon request made
during regular business hours.

(3)
A precious metal secondhand dealer shall provide copies of records described in
subsection (1) of this section if requested by law enforcement officers.

(4)
A precious metal secondhand dealer in this state shall retain any item of
precious metal acquired in a transaction for a period of seven days after the
date of the transaction before the dealer may dispose of the item. The dealer
shall keep items of precious metal subject to retention under this subsection
segregated from other items, but at the location where the transaction
occurred. The dealer shall allow inspection of items of precious metal subject
to retention under this subsection if requested by law enforcement officers.

(5)
Notwithstanding subsection (4) of this section, a temporary precious metal
secondhand dealer may retain items subject to retention under subsection (4) of
this section at a location of the dealer’s choosing in this state, but must
provide an item of precious metal to a requesting law enforcement officer within
24 hours of the officer’s request for the item. Any cost incurred in providing
a law enforcement officer with a requested item under this subsection shall be
borne by the dealer. [2012 c.99 §2]

646A.066
Applicability to local ordinances. (1) ORS 646A.064 to 646A.067 do not
apply within the jurisdiction of any city or county that the Secretary of State
has identified as having in effect an ordinance that imposes on precious metal
secondhand dealers:

(a)
Substantially equivalent or more stringent record keeping requirements for
transactions; and

(b)
Equal or longer holding periods for items of precious metal that are acquired
by precious metal secondhand dealers through transactions.

(2)
The secretary shall maintain on the secretary’s website a list of cities and
counties in which ORS 646A.064 to 646A.067 do not apply.

(3)
Each city or county that has an ordinance in effect that the city or county
determines is as described in subsection (1) of this section shall notify the
secretary in writing and shall include a copy of the ordinance or an electronic
link to the ordinance. If the city or county amends or repeals the ordinance,
the city or county shall notify the secretary of the amendment or repeal and,
in the case of an amendment, the city or county determination of whether the
ordinance as amended still is as described in subsection (1) of this section. [2012
c.99 §3]

646A.067
Preemption of local requirements applicable to pawnbrokers. A city or
county in this state may not require a precious metal secondhand dealer in this
state who is also a pawnbroker licensed under ORS chapter 726 to provide a
photograph of an item of precious metal acquired through a transaction. [2012
c.99 §4]

(2)
Notwithstanding subsection (1) of this section, a person that violates the
provisions of ORS 646A.065 three or more times commits a Class A violation for
each subsequent violation.

(3)
Notwithstanding subsections (1) and (2) of this section, a person that violates
the provisions of ORS 646A.065 six or more times is subject to a fine of not
less than $5,000 for each subsequent violation. [2012 c.99 §5]

(Telephonic
Equipment)

646A.070
Sale of telephonic equipment; disclosure requirements; enforcement; penalty. (1) Any person
offering for sale or selling new or reconditioned telephone handsets or
keysets, private branch exchanges or private automatic branch exchanges of not
more than a 20-station capacity shall disclose clearly, in writing, when
reasonable, before sale all of the following information:

(c)
Whether the equipment is registered with the Federal Communications Commission
under applicable federal regulations.

(d)
The person responsible for repair of the equipment.

(e)
Minimum charges, if any, for repairs, handling and shipping.

(f)
The terms of any written warranty offered with the equipment.

(2)
A person who violates subsection (1) of this section commits an unlawful
practice under ORS 646.608. The requirement under subsection (1) of this
section is subject to enforcement and penalty as provided under ORS 646.605 to
646.652. [Formerly 646.850]

646A.072
Exceptions to disclosure requirements. (1) The requirement of disclosure under
ORS 646A.070 does not apply:

(a)
To any medium of advertising that accepts advertising in good faith without
knowledge that the advertising violates any requirement under ORS 646A.070.

(b)
To the sale or the offering for sale of radio equipment used for land, marine
or air mobile service or any like service, regardless of whether such equipment
is capable of interconnection by manual or automatic means to a telephone line.

(c)
To equipment not intended for connection to the telephone network or to used
equipment located on the customer’s premises.

(2)
The requirement of disclosure under ORS 646A.070 (1)(d), (e) and (f) does not
apply if the seller satisfies applicable requirements under the federal
Magnuson-Moss Warranty Act (15 U.S.C. 2301 to 2312), except that the seller
must provide the purchaser a copy of the warranty at the time of sale. [Formerly
646.855]

(Retail
Pet Stores)

646A.075
Required information prior to purchase of dog. (1) As used in
this section:

(a)
“Dog” means a member of the subspecies Canis lupus familiaris or a hybrid of
that subspecies.

(b)
“Litter” means one or more dogs, sold individually or together, that are all or
part of a group of dogs born to the same mother at the same time.

(c)
“Retail pet store” means a retail establishment open to the public that sells
or offers to sell dogs.

(d)
“Retail pet store” does not mean a person that sells or offers to sell only
dogs:

(A)
That were bred or raised by the person; or

(B)
That are kept primarily for the purpose of reproduction.

(2)
A retail pet store that offers a dog for sale shall, prior to accepting an
offer to purchase the dog, provide the person making the offer with the
following information, in writing, regarding the dog:

(a)
If known, the breed, age and date of birth for the dog.

(b)
The sex and color of the dog.

(c)
A list, and accompanying proof, of all inoculations that have been given to the
dog by any person, and the date of those inoculations.

(d)
A list of all medical treatment provided to the dog by any person, the date or
treatment and the reasons for the treatment.

(e)
The name and business address of the breeder and of the facility where the dog
was born.

(f)
If the breeder holds a license issued by the United States Department of
Agriculture, the breeder’s federal identification number.

(g)
The retail price of the dog.

(h)
Any congenital disorder or hereditary diseases in the parents of the dog known
to the pet dealer.

(i)
If the dog is being sold with the representation that the dog qualifies for
registration with a pedigree organization:

(A)
The name and registration numbers of the parents of the dog; and

(B)
The name and address of the pedigree organization with which the parents of the
dog are registered.

(j)
If the dog has previously been sold by the retail pet store and returned by the
purchaser, the reason for the return.

(k)
A statement in substantially the following form, with the applicable provision
number circled:

646A.077
Qualification for full refund; replacement dog; reimbursement for cost of veterinary
care; exceptions.
(1) As used in this section:

(a)
“Litter” means one or more dogs, sold individually or together, that are all or
part of a group of dogs born to the same mother at the same time.

(b)
“Pet dealer” means, except as provided in paragraph (c) of this subsection, a
person that sells five or more litters of dogs during a one-year period.

(c)
“Pet dealer” does not mean an animal control agency, humane society or animal
shelter.

(2)
Except as otherwise provided in this section, a pet dealer shall provide the
purchaser of a dog that complies with subsection (3) of this section with a
full refund of the purchase price for the dog if:

(a)
No later than 15 days after purchasing the dog from the pet dealer the
purchaser has the dog examined by a veterinarian and the examination reveals
that the dog is diseased; or

(b)
No later than one year after purchasing the dog from the pet dealer the
purchaser has the dog examined by a veterinarian and the examination reveals
that the dog has a congenital disorder that significantly limits the dog’s
quality of life.

(3)
To qualify for a refund under this section, the purchaser, no later than four
business days after the veterinary examination that revealed the disease or
disorder, must:

(a)
Return the dog to the pet dealer;

(b)
Provide the pet dealer with a dated written statement by the examining
veterinarian that the dog has a disease or has a congenital defect; and

(c)
Provide the pet dealer with proof of the sale, including but not limited to,
the date of sale.

(4)
Upon mutual agreement of the purchaser and pet dealer, the purchaser may accept
a replacement dog instead of a refund.

(5)
A purchaser that complies with subsection (2) of this section may, instead of obtaining
a refund, require that the pet dealer reimburse the purchaser for the cost of
veterinary care provided in connection with the disease or congenital disorder
described in subsection (2) of this section. The duty of the pet dealer to
reimburse the purchaser for the cost of veterinary care shall be limited to the
purchase price of the dog. A purchaser that agrees to accept reimbursement
under this subsection waives any other claim against the pet dealer for
reimbursement of the cost of veterinary care for the dog.

(6)
Notwithstanding subsections (1) to (5) of this section, a pet dealer is not
required to refund the purchase price for a dog, provide a replacement dog or
reimburse the purchaser for veterinary care if the pet dealer:

(a)
At the time of sale made a clear and conspicuous disclosure in writing,
initialed or signed by the purchaser, that disclosed the disease or disorder;
or

(b)
Had the dog examined by a veterinarian not more than 14 days prior to the date
of sale and the examination did not disclose the disease or congenital
disorder. [2009 c.297 §4]

(Miscellaneous
Sales Transactions)

646A.080
Sale of novelty item containing mercury; penalty. (1) A person
may not sell or offer for sale a novelty item that contains encapsulated liquid
mercury.

(2)
Upon notification to the Department of Environmental Quality by any person that
a novelty item for sale in the state contains encapsulated liquid mercury, the
department shall notify persons identified as selling the novelty item of the
prohibition on the sale of such items.

(3)
The department may impose a penalty as provided in ORS 459.995 if a person
continues to sell a novelty item that contains encapsulated liquid mercury
after notification of the prohibition on the sale of such items. [Formerly
646.845]

646A.081
Prohibition on sale or installation of mercury vapor outdoor lighting fixtures. (1) As used in
this section:

(b)
“Outdoor lighting fixture” has the meaning given that term in ORS 757.765.

(2)
A person may not sell an outdoor lighting fixture that is a mercury vapor
lighting fixture.

(3)
A person may not install a mercury vapor lighting fixture outdoors. This
subsection does not apply to the reinstallation of an existing fixture after
servicing or repair.

(4)
State moneys may not be expended for the installation or reinstallation of
outdoor lighting fixtures that are mercury vapor lighting fixtures. [2009 c.588
§3]

646A.082
Floral retail sales; disclosure of principal place of business; enforcement;
penalty.
(1) Any person engaging in floral retail sales shall disclose the person’s
principal place of business in any written communications sent to customers,
listings, advertising or websites that provide information about the person’s
floral retail sales activities.

(2)
A person who violates subsection (1) of this section commits an unlawful
practice under ORS 646.608. The requirement under subsection (1) of this
section is subject to enforcement and penalty as provided under ORS 646.605 to
646.652. [2009 c.150 §2]

646A.085
Sale of rights by distributor to exhibit motion picture without first giving
exhibitor opportunity to view motion picture prohibited; attorney fees. (1) As used in
this section:

(a)
“Distributor” means any person engaged in the business of distributing or
supplying motion pictures to exhibitors by rental, sales, license or any other
agreement to sell rights to exhibit a motion picture.

(b)
“Exhibitor” means any person engaged in the business of operating one or more
theaters in which motion pictures are exhibited to the public for a charge.

(c)
“Market” means any geographical area in this state for which a distributor
solicits exhibitors to compete, by bidding or other negotiations, for the
rights to exhibit a motion picture.

(2)
No distributor shall sell rights to exhibit a motion picture in this state
unless each exhibitor solicited by the distributor for an offer to exhibit the
motion picture is first allowed a reasonable opportunity to view the motion
picture within the state. Any waiver of this subsection is void and
unenforceable.

(3)
Nothing in this section applies to any form of solicitation of offers for,
negotiation concerning or sale of rights to exhibit a motion picture:

(a)
That has been exhibited in this state before October 3, 1979.

(b)
In a market where the motion picture has been exhibited for one week or more.

(c)
That is 60 minutes or less in length.

(4)
An exhibitor may enforce this section by bringing an action in the appropriate
court of this state. In enforcing this section a court may:

(a)
Issue an injunction to prohibit violation of this section; and

(b)
Award an exhibitor any actual damages arising from violation of this section.

(5)
In any suit under subsection (4) of this section, the court shall award
reasonable attorney fees at trial and on appeal to the prevailing party. [Formerly
646.868]

646A.090
Offer to sell or lease motor vehicle subject to future acceptance by lender;
disposition of trade-in vehicle and items of value; liability. (1) As used in
this section:

(a)
“Buyer” means the purchaser or lessee of a motor vehicle.

(b)
“Final approval of funding” means a lender’s irrevocable agreement to finance a
sale or lease of a motor vehicle according to the exact terms that the seller
and buyer have negotiated.

(c)
“Lender” means any person that finances a sale or lease of a motor vehicle.

(d)
“Motor vehicle” means a motor vehicle, as defined in ORS 801.360, that is sold
or leased in this state for personal, family or household purposes.

(2)
A seller may make an offer to sell or lease a motor vehicle to a buyer or
prospective buyer that is subject to future acceptance by a lender that may
finance the transaction at the request of the seller.

(3)
In any transaction described in subsection (2) of this section:

(a)
If a lender does not agree to finance the transaction on the exact terms
negotiated between the seller and the buyer within 14 days after the date on
which the buyer takes possession of the motor vehicle and the seller has not
received final approval of funding from the lender, the seller shall return to
the buyer all items of value received from the buyer as part of the
transaction; and

(b)
If the seller has accepted a trade-in motor vehicle from the buyer or
prospective buyer, the seller shall not sell or lease the buyer’s or
prospective buyer’s trade-in motor vehicle before the seller has received final
approval of funding from the lender.

(4)
In any transaction described in subsection (2) of this section, if the buyer
has accepted a motor vehicle from the seller, and a lender does not agree to
finance the transaction on the exact terms negotiated between the seller and
the buyer, the buyer shall return to the seller all items of value received
from the seller as part of the transaction. The offer or contract to sell or
lease the motor vehicle may provide in writing that the buyer is liable to the
seller for:

(a)
The fair market value of damage to, excessive wear and tear on or loss of the
motor vehicle occurring between the date the buyer takes possession of the
motor vehicle and the date the buyer returns the motor vehicle to the seller’s
custody; and

(b)
If, within 14 days of the date the buyer takes possession of the motor vehicle,
the seller sends notice to the buyer by first class mail that financing is
unavailable, a reasonable charge per mile for the use of the motor vehicle. If
the buyer returns the motor vehicle within five days of the mailing of the
notice, the seller may charge the buyer for miles driven during the first 14
days that the buyer had possession of the motor vehicle. If the buyer does not
return the vehicle within five days of the mailing of the notice, the seller
may charge the buyer for all miles driven while the buyer has possession of the
motor vehicle. The charge may not exceed the rate per mile allowed under
federal law as a deduction for federal income tax purposes for an ordinary and
necessary business expense.

(5)
It is an affirmative defense to a claim or charge of violating subsection
(3)(a) of this section that the buyer failed to return the motor vehicle after
the seller sent notice to the buyer by first class mail that financing was
unavailable. [Formerly 646.877]

646A.092
Advertisements for sale or lease of motor vehicle; exceptions. (1) As used in
this section:

(a)
“Advertisement” means any public notice or announcement of a motor vehicle for
sale or lease.

(b)
“Motor vehicle” has the meaning given that term in ORS 801.360, except that “motor
vehicle” does not include commercial vehicles, as defined in ORS 801.210, or
commercial motor vehicles, as defined in ORS 801.208.

(c)
“Seller” means a person that is engaged in the business of selling or leasing
motor vehicles.

(2)
An advertisement for the sale or lease of a motor vehicle may not claim that a
seller will value property being offered in exchange for payment toward the
motor vehicle:

(a)
At a specific amount;

(b)
Within a range of specified amounts;

(c)
At a guaranteed minimum amount; or

(d)
As a multiple of or an increase in trade-in allowance.

(3)
This section does not apply to an advertisement for a used motor vehicle that:

(a)
References a value cited in a trade publication that is not published by the
seller and that is readily accessible by the public;

(b)
Clearly and conspicuously discloses the name of the trade publication being
referenced;

(c)
Clearly and conspicuously includes the following disclaimer in at least
10-point bold type: “THE VALUE OF USED MOTOR VEHICLES VARIES WITH MILEAGE,
USAGE, INCLUDED ACCESSORIES AND CONDITION. BOOK VALUES SHOULD BE CONSIDERED
ESTIMATES ONLY.”; and

(d)
If the publisher of the trade publication publishes and distributes separate
issues for specific geographic regions, references the value cited for the
geographic region in which the motor vehicle is being offered for sale. [2011
c.57 §1]

646A.093
Disclosures for handling and shipping consumer goods required in
advertisements, offers and sales; penalty. (1) As used in this section:

(a)
“Advertise” means to communicate about a consumer good by newspaper, radio,
television, handbill, placard or other print, broadcast or electronic medium
within this state for the purpose of selling the consumer good.

(b)
“Consumer goods” means goods that an individual uses or buys for use primarily
for personal, family or household purposes.

(2)
A person that offers for sale, sells or advertises consumer goods that the
person will ship directly to a consumer in this state shall clearly disclose
during the sales transaction the charges, if any, that the consumer must pay
for handling and shipping the consumer goods.

(3)
A person that fails to disclose the handling and shipping charges for consumer
goods in a transaction described in subsection (2) of this section commits an
unlawful practice under ORS 646.607 that is subject to enforcement under ORS
646.632. [2013 c.433 §1]

646A.095
Disclosure required when purchaser of product offered technical support through
information delivery system. (1) Whenever the purchaser of a product
sold at retail is offered ongoing technical support or service relating to the
operation or use of the product, and the support or service is offered
exclusively or in part through an information delivery system, the product or
package of the product shall contain, in clear view to the purchaser before the
product is opened, a statement disclosing that the technical support or service
is provided through an information delivery system and listing the cost per
minute of the support or service. The manufacturer of the product is
responsible for providing the statement required under this subsection.

(2)
As used in this section:

(a)
“Information delivery system” means any telephone-recorded messages,
interactive program or other information services that are provided on a
pay-per-call basis through an exclusive telephone number prefix or service
access code; and

(b)
“Manufacturer” means a person who manufactures a product described in
subsection (1) of this section. When the product is distributed or sold under a
name other than that of the actual manufacturer of the product, the term “manufacturer”
includes any person under whose name the product is distributed or sold. [Formerly
646.871]

646A.097
Payment of sales commissions following termination of contract between sales
representative and principal; definitions; civil action. (1) As used in
this section:

(a)
“Commission” means compensation accruing to a sales representative for payment
by a principal, the rate of which is expressed as a percentage of the amount of
orders or sales or as a specified amount per order or per sale.

(b)
“Principal” means a person who does not have a permanent or fixed place of
business in this state and who:

(B)
Contracts with a sales representative to solicit orders for the product; and

(C)
Compensates the sales representative, in whole or in part, by commission.

(c)
“Sales representative” means a person who:

(A)
Contracts with a principal to solicit wholesale orders;

(B)
Is compensated, in whole or in part, by commission;

(C)
Does not place orders or purchase for the sales representative’s own account or
for resale; and

(D)
Does not sell or take orders for the sale of products to the ultimate consumer.

(2)
When a contract between a sales representative and a principal is terminated
for any reason, the principal shall pay the sales representative all
commissions accrued under the contract to the sales representative within 14
days after the effective date of the termination.

(3)
A principal who fails to comply with the provisions of subsection (2) of this
section is liable to the sales representative in a civil action for:

(a)
All amounts due the sales representative plus interest on the amount due at the
rate of nine percent per annum until paid; and

(b)
Treble damages, if the failure to comply with the provisions of subsection (2)
of this section is willful.

(4)
The court shall award court costs and attorney fees actually and reasonably
incurred by the prevailing party in an action to recover amounts, interest or
damages due under subsection (3) of this section.

(5)
A nonresident principal who contracts with a sales representative to solicit
orders in this state is subject to the jurisdiction of the courts of this state
to the extent specified in ORS 14.030.

(6)
Any action commenced pursuant to this section must be commenced in the county
in which the plaintiff resides at the time the action is commenced or in the
county where the cause of action arose.

(7)
Nothing in this section shall invalidate or restrict any other or any
additional right or remedy available to a sales representative, or preclude a
sales representative from seeking to recover in one action all claims against a
principal.

(8)
A provision in any contract between a sales representative and a principal
purporting to waive any provision of this section, whether by expressed waiver
or by a contract subject to the laws of another state, shall be void. [Formerly
646.878]

(Going
Out of Business Sales)

646A.100
Definitions for ORS 646A.100 to 646A.110. As used in ORS 646A.100 to
646A.110:

(1)
“Affiliated business” means a business or business location that is directly or
indirectly controlled by, or under common control with, the business location
listed in the notice of a going out of business sale or that has a common
ownership interest in the merchandise to be sold at the business location
listed in the notice of the sale.

(2)(a)
“Going out of business sale” means a sale or auction advertised or held out to
the public as the disposal of merchandise in anticipation of cessation of
business, including but not limited to a sale or auction advertised or held out
to the public as a “going out of business sale,” a “closing out sale,” a “quitting
business sale,” a “loss of lease sale,” a “must vacate sale,” a “liquidation
sale,” a “bankruptcy sale,” a “sale to prevent bankruptcy” or another
description suggesting price reduction due to the imminent closure of the
business.

(b)
“Going out of business sale” does not include a sale conducted by a bankruptcy
trustee or a court-appointed receiver.

(3)
“Merchandise” means goods, wares or other property or services capable of being
the object of a sale regulated under ORS 646A.100 to 646A.110.

(4)
“Notice of intent” means a notice filed with the Secretary of State that a
person intends to conduct a going out of business sale.

(5)
“Person” has the meaning given that term in ORS 646.605. [2007 c.820 §1]

646A.102
Notice of intent to conduct going out of business sale; display and filing;
exceptions; prohibited activities. (1) Except as provided in subsection
(3) of this section, a person may not sell, offer for sale or advertise for
sale merchandise at a going out of business sale unless the person has filed a
notice of intent with the Secretary of State.

(2)
A person must display a copy of the notice of intent filed with the Secretary
of State in a prominent place on the premises where the going out of business
sale is being conducted.

(3)
If a going out of business sale is conducted as part of a bankruptcy,
receivership or other court-ordered action, a person:

(a)
Need not file a notice of intent with the Secretary of State.

(b)
Shall display the court order or judgment ordering the sale in a prominent
place on the premises where the going out of business sale is being conducted.

(4)
A person may not:

(a)
Conduct a going out of business sale for more than 90 days from the beginning
date of the sale listed on the notice of intent.

(b)
Continue to conduct a going out of business sale beyond the ending date listed
on the notice of intent.

(5)
A person who has conducted a going out of business sale may not conduct another
going out of business sale for a period of one year after the ending date of
the sale listed on the notice of intent. [2007 c.820 §2]

646A.104
Information required in notice of intent. A person filing a notice of
intent with the Secretary of State shall provide all of the following
information in the notice of intent:

(1)
The name, address and telephone number of the owner of the merchandise to be
sold. If the owner is a corporation, trust, unincorporated association,
partnership or other legal entity, the person signing the notice must be an
officer of the entity and must identify the person’s title.

(2)
The name, address and telephone number of the person who will be in charge of
and responsible for the conduct of the sale.

(3)
The descriptive name, location and beginning and ending dates of the sale. [2007
c.820 §3]

646A.106
Circumstances in which going out of business sale prohibited. A person may
not conduct a going out of business sale if a person who has an ownership
interest in the business or in the merchandise to be sold is subject to a court
order resulting from a civil enforcement action under ORS 646.608 or 646A.100
to 646A.110. [2007 c.820 §4]

646A.108
Prohibited conduct.
(1) A person intending to conduct a going out of business sale may not transfer
merchandise from an affiliated business or business location to the location of
the sale.

(2)
A person, after filing a notice of intent, may not buy or order merchandise,
take merchandise on consignment or receive a transfer of merchandise from an
affiliated business or business location for the purpose of selling the
merchandise at the sale or sell such merchandise in a going out of business
sale. [2007 c.820 §5]

646A.110
Applicability of ORS 646A.100 to 646A.110 and 646A.112. (1) ORS 646.608
(1)(ddd), 646A.100 to 646A.110 and 646A.112 apply only to persons who engage in
the retail sale of merchandise in the regular course of their business.

(2)
ORS 646.608 (1)(ddd), 646A.100 to 646A.110 and 646A.112 do not apply to public
officials acting within the scope of their duties as public officials. [2007
c.820 §6; 2009 c.170 §2; 2009 c.604 §26]

646A.112
Injunction of sham sale; evidence; attorney fees; defense; definitions. (1) As used in
this section:

(a)
“Appropriate court” has the meaning given that term in ORS 646.605.

(b)
“Relevant market” means:

(A)
A product market that consists of products or services that a consumer would
regard as interchangeable or substitutable by reason of the products’ or
services’ characteristics, prices and intended use; or

(B)
A geographic market that consists of the area in which the persons concerned
are involved in the supply of a product or service and in which the conditions
of competition are sufficiently homogenous.

(c)
“Sham sale” means a going out of business sale, as defined in ORS 646A.100,
conducted with the intent to continue the same or a similar business in the
same location or at a location within the same relevant market but that is a
sale that is represented as being conducted due to a cessation of business.

(2)
A person may bring an action in an appropriate court to enjoin another person
in the same relevant market from conducting a sham sale if the person
reasonably believes the other person is conducting a sham sale. The court may
provide such equitable relief as it deems necessary or proper.

(3)
In an action brought by a person under this section, the court may award reasonable
attorney fees to the person.

(4)
It is prima facie evidence that a person alleged to be conducting a sham sale
has the intent to continue the same or a similar business if:

(a)
The person regularly receives additional inventory during the sham sale or,
immediately prior to the sham sale, receives additional inventory that is not
regularly delivered;

(b)
The sham sale exceeds 90 days; or

(c)
The same or a similar business that consists of inventory remaining from the
sham sale and that has the same principal ownership resumes business in the
same relevant market within 12 months from the cessation of the business.

(5)
It is an affirmative defense to an action brought under this section that,
during an alleged sham sale, the person no longer needed to go out of business
and immediately canceled the alleged sham sale. [2007 c.820 §7]

646A.115
Software prohibited that interferes with sale of admission tickets to
entertainment events; unlawful practice. (1) As used in this section:

(a)
“Admission ticket” means evidence of a purchaser’s right of entry to a venue or
an entertainment event.

(c)
“Operator” means a person that owns, operates or controls a venue or that
produces or promotes an entertainment event, or the person’s agent or employee.

(d)
“Resale” means a sale other than an operator’s initial sale of an admission
ticket for a venue that is located in or an entertainment event that occurs in
this state, irrespective of the location in which the sale occurs or the means
by which a reseller solicits or advertises the sale or delivers or receives
payment for the admission ticket.

(e)
“Reseller” means a person other than an operator that conducts a resale.

(2)
A person may not intentionally sell or use software, the purpose of which is to
circumvent, thwart, interfere with or evade a control or measure, including a
security measure or an access control system, that an operator or reseller
establishes or uses to ensure an equitable distribution, sale or resale of
admission tickets for an entertainment event.

(3)
Violation of subsection (2) of this section is an unlawful practice under ORS
646.608 that is subject to an action under ORS 646.632 and 646.638. [2009 c.310
§1]

RENTAL
AND LEASE AGREEMENTS

(Lease-Purchase
Agreements)

646A.120
Definitions for ORS 646A.120 to 646A.134. As used in ORS 646A.120 to
646A.134:

(1)
“Advertisement” means a commercial message in any medium that aids, promotes or
assists, directly or indirectly, a lease-purchase agreement.

(2)
“Cash price” means the price at which the lessor would have sold the property
to the consumer for cash on the date of the lease-purchase agreement.

(3)
“Consumer” means an individual who rents personal property under a
lease-purchase agreement to be used primarily for personal, family or household
purposes.

(4)
“Consummation” means the time a consumer becomes contractually obligated on a
lease-purchase agreement.

(5)
“Lease-purchase agreement” means an agreement for the use of personal property
by an individual for personal, family or household purposes, for an initial
period of four months or less, that is automatically renewable with each
payment after the initial period, but does not obligate or require the consumer
to continue leasing or using the property beyond the initial period, and that
permits the consumer to become the owner of the property.

(6)
“Lessor” means a person who regularly provides the use of property through
lease-purchase agreements and to whom lease payments are initially payable on
the face of the lease-purchase agreement. [Formerly 646.245]

646A.122
Applicability of ORS 646A.120 to 646A.134. (1) Lease-purchase agreements
that comply with ORS 646A.120 to 646A.134 are not governed by laws relating to:

(a)
A security interest under ORS chapter 79.

(b)
A retail installment contract under ORS 83.010 to 83.190.

(2)
ORS 646A.120 to 646A.134 do not apply to the following:

(a)
Lease-purchase agreements primarily for business, commercial or agricultural
purposes, or those made with governmental agencies or instrumentalities or with
organizations;

(b)
A lease of a safe deposit box;

(c)
A lease or bailment of personal property which is incidental to the lease of
real property, and which provides that the consumer has no option to purchase
the leased property; or

(d)
A lease of a motor vehicle. [Formerly 646.247]

646A.124
General disclosure requirements. (1) The lessor shall disclose to the
consumer the information required by ORS 646A.126. In a transaction involving
more than one lessor, only one lessor need make the disclosures, but all
lessors shall be bound by the disclosures.

(2)
The disclosures shall be made at or before consummation of the lease-purchase
agreement.

(3)
The disclosures shall be made clearly and conspicuously in writing and a copy
of the lease-purchase agreement shall be provided to the consumer. The
disclosures required under ORS 646A.126 shall be made on the face of the
contract above the line for the consumer’s signature.

(4)
If a disclosure becomes inaccurate as the result of any act, occurrence or agreement
by the consumer after delivery of the required disclosures, the resulting
inaccuracy is not a violation of ORS 646A.120 to 646A.134.

(5)
If any portion of the transaction is conducted in any language other than
English, the disclosures required under ORS 646A.120 to 646A.134 shall be in
the language other than English. This subsection does not apply if any portion
of the transaction is conducted through an interpreter supplied by the lessee. [Formerly
646.249]

646A.126
Specific disclosure requirements. For each lease-purchase agreement, the
lessor shall disclose in the agreement the following items, as applicable:

(1)
Whether the periodic payment is weekly, monthly or otherwise, the dollar amount
of each payment and the total number and total dollar amount of all periodic
payments necessary to acquire ownership of the property;

(2)
A statement that the consumer will not own the property until the consumer has
made the total payment necessary to acquire ownership;

(3)
A statement advising the consumer whether the consumer is liable for loss or
damage to the property, and, if so, the maximum amount for which the consumer
is liable;

(4)
A brief description of the leased property, sufficient to identify the property
to the consumer and the lessor, including an identification number, if
applicable, and a statement indicating whether the property is new or used. A
statement that indicates new property is used is not a violation of ORS
646A.120 to 646A.134;

(5)
A statement of the cash price of the property. Where one agreement involves a
lease of two or more items as a set, a statement of the aggregate cash price of
all items shall satisfy this requirement;

(6)
The total of initial payments paid or required at or before consummation of the
agreement or delivery of the property, whichever is later;

(7)
A statement that the total amount of payments does not include other charges,
such as late payment, default, pickup and reinstatement fees. Fees listed in
this subsection shall be disclosed separately in the agreement;

(8)
A statement clearly summarizing the terms of the consumer’s option to purchase,
including a statement that the consumer has the right to exercise an early
purchase option, and the price, formula or method for determining the price at which
the property may be so purchased;

(9)
A statement identifying the party responsible for maintaining or servicing the
property while it is being leased, together with a description of that
responsibility, and a statement that if any part of a manufacturer’s express
warranty covers the lease property at the time the consumer acquires ownership
of the property, it shall be transferred to the consumer, if allowed by the
terms of the warranty;

(10)
The date of the transaction and the identities of the lessor and consumer;

(11)
A statement that the consumer may terminate the agreement without penalty by
voluntarily surrendering or returning the property in good repair, reasonable
wear and tear excepted, upon expiration of any lease term along with any past
due rental payments; and

(12)
Notice of the right to reinstate an agreement as provided in ORS 646A.120 to
646A.134. [Formerly 646.251]

646A.128
Provisions prohibited in lease-purchase agreements. A
lease-purchase agreement may not contain:

(1)
A confession of judgment;

(2)
A negotiable instrument;

(3)
A security interest or any other claim of a property interest in any goods
except those goods delivered by the lessor pursuant to the lease-purchase
agreement;

(4)
A wage assignment;

(5)
A waiver by the consumer of claims or defenses;

(6)
A provision authorizing the lessor or a person acting on the lessor’s behalf to
enter upon the consumer’s premises without the permission of the consumer or to
commit any breach of the peace in the repossession of goods;

(7)
A provision requiring the purchase of insurance or liability damage waiver from
the lessor for property that is the subject of the lease-purchase agreement;

(8)
A provision that mere failure to return property constitutes probable cause for
a criminal action;

(9)
A provision requiring the lessee to make a payment in addition to regular lease
payments in order to acquire ownership of the leased property, or a provision
requiring the lessee to make lease payments totaling more than the dollar amount
necessary to acquire ownership, as disclosed pursuant to ORS 646A.126;

(10)
A provision requiring a late charge or reinstatement fee unless a periodic
payment is late more than two days on a weekly agreement, or five days on a
monthly agreement;

(11)
A late charge or reinstatement fee in excess of $5; or

(12)
More than one late charge or reinstatement fee on any one periodic payment
regardless of the period of time during which it remains in default. [Formerly
646.253]

646A.130
Reinstatement of lease-purchase agreement by consumer; receipt for each
payment.
(1) A consumer who fails to make a timely rental payment may reinstate the
agreement, without losing any rights or options which exist under the
agreement, by the payment of:

(a)
All past due rental charges;

(b)
If the property has been picked up, the reasonable costs of pickup and
redelivery; and

(c)
Any applicable late fee, within five days of the renewal date if the consumer
pays monthly, or within two days of the renewal date if the consumer pays more
frequently than monthly.

(2)
In the case of a consumer who has paid less than two-thirds of the total of
payments necessary to acquire ownership and where the consumer has returned or
voluntarily surrendered the property, other than through judicial process,
during the applicable reinstatement period set forth in subsection (1) of this
section, the consumer may reinstate the agreement during a period of not less
than 21 days after the date of the return of the property.

(3)
In the case of a consumer who has paid two-thirds or more of the total of
payments necessary to acquire ownership, and where the consumer has returned or
voluntarily surrendered the property, other than through judicial process,
during the applicable period set forth in subsection (1) of this section, the
consumer may reinstate the agreement during a period of not less than 30 days
after the date of the return of the property.

(4)
Nothing in this section shall prevent a lessor from attempting to repossess
property during the reinstatement period, but such a repossession shall not
affect the consumer’s right to reinstate. Upon reinstatement, the lessor shall
provide the consumer with the same property or substitute property of
comparable quality and condition.

(5)
A lessor shall provide the consumer with a written receipt for each payment
made by cash or money order. [Formerly 646.255]

646A.132
Renegotiation or extension of lease-purchase agreement. (1) A
renegotiation shall occur when an existing lease-purchase agreement is
satisfied and replaced by a new agreement undertaken by the same lessor and
consumer. A renegotiation shall be considered a new agreement requiring new
disclosures. A renegotiation shall not include:

(a)
The addition or return of property in a multiple item agreement or the
substitution of the lease property, if in either case the average payment
allocable to a payment period is not changed by more than 10 percent;

(b)
A deferral or extension of one or more periodic payments, or portions of a periodic
payment;

(c)
A reduction in charges in the lease or agreement; and

(d)
A lease or agreement involved in a court proceeding.

(2)
No disclosures are required for any extension of a lease-purchase agreement. [Formerly
646.257]

646A.134
Disclosures required in advertisement for lease-purchase agreements. (1) If an
advertisement for a lease-purchase agreement refers to or states the dollar
amount of any payment and the right to acquire ownership for any one specific
item, the advertisement shall also clearly and conspicuously state the
following items, as applicable:

(a)
That the transaction advertised is a lease-purchase agreement;

(b)
The total of payments necessary to acquire ownership; and

(c)
That the consumer acquires no ownership rights if the total amount necessary to
acquire ownership is not paid.

(2)
Any owner or personnel of any medium in which an advertisement appears or
through which it is disseminated shall not be liable under this section.

(3)
The provisions of subsection (1) of this section shall not apply to an
advertisement which does not refer to or state the amount of any payment, or
which is published in the yellow pages of a telephone directory or in any
similar directory of business.

(4)
Every item displayed or offered under a lease-purchase agreement shall have
clearly and conspicuously indicated in Arabic numerals, so as to be readable
and understandable by visual inspection, each of the following stamped upon or
affixed to the item:

(a)
The cash price of the item;

(b)
The amount of the periodic payment; and

(c)
The total number of periodic payments required for ownership. [Formerly
646.259]

(Collision
Damage Waivers in Vehicle Rentals)

646A.140
Definitions for ORS 646A.140 and 646A.142. As used in this section and ORS
646A.142:

(1)
“Authorized driver” means:

(a)
The person renting the vehicle;

(b)
The spouse of the person renting the vehicle, if the spouse is a licensed
driver and meets any minimum age requirements contained in the rental
agreement;

(c)
The employer or coworker of the person renting the vehicle if the employer or
coworker is engaged in a business activity with the person renting the vehicle
and the employer or coworker meets any minimum age requirements contained in
the rental agreement;

(d)
Any person driving the vehicle during an emergency; and

(e)
Any person expressly listed by the rental company on the rental agreement as an
authorized driver.

(2)
“Collision damage waiver” means an agreement between the renter and the rental
company in which the company waives its right to impose a financial obligation
on the renter or authorized driver if the vehicle is returned with physical
damage.

(3)
“Damage” means any damage or loss to the rented vehicle, including loss of use
and any costs and expenses incident to the damage or loss.

(4)
“Private passenger automobile” or “vehicle” means a motor vehicle designed
primarily for transportation of persons.

(5)
“Rental agreement” means any written agreement setting forth the terms and
conditions governing the use of a private passenger automobile provided by a
rental company.

(6)
“Rental company” means any person engaged in the business of renting private
passenger automobiles to the public.

(7)
“Renter” means any person or organization obtaining the use of a private
passenger automobile from a rental company under the terms of a rental
agreement. [Formerly 646.857]

646A.142
Rental vehicle collision damage waiver notice. (1) Every auto
rental company doing business in the State of Oregon that offers collision
damage waivers shall post a sign approved by the Department of Consumer and
Business Services which states “OUR CONTRACTS OFFER OPTIONAL COLLISION DAMAGE
WAIVERS AT AN ADDITIONAL COST.”

(2)(a)
No rental company shall sell or offer to sell to a renter a collision damage
waiver as part of a rental agreement unless the renter is provided the
following written notice in at least 10-point type:

NOTICE:
Our contracts offer, for an additional charge, a collision damage waiver to
cover your responsibility for damage to the vehicle. Before deciding whether or
not to purchase the collision damage waiver, you may wish to determine whether
your own vehicle insurance affords you coverage for damage to the rental
vehicle and the amount of the deductible under your own insurance coverage. The
purchase of this collision damage waiver is not mandatory and may be waived.

(a)
Create a legal framework within which service contracts may be sold in this
state;

(b)
Encourage innovation in the marketing and development of more economical and
effective means of providing services under service contracts, while placing
the risk of innovation on the obligors rather than on consumers; and

(c)
Permit and encourage fair and effective competition among different systems of
providing and paying for service contracts.

(2)
ORS 646A.150 to 646A.172 do not apply to:

(a)
Warranties; or

(b)
Maintenance agreements. [Formerly 646.263]

646A.152
Definitions for ORS 646A.150 to 646A.172. As used in ORS 646A.150 to
646A.172:

(2)(a)
“Obligor” means a person that is contractually obligated to the service
contract holder to provide service under a service contract.

(b)
“Obligor” does not include a person that has a home services contractor
license, as described in ORS 701.610, and offers or provides services under a
home service agreement, as defined in ORS 731.164.

(5)
“Service contract holder” or “contract holder” means a person that purchases or
holds a service contract.

(6)
“Service contract seller” means a person that markets, sells or offers to sell
a service contract.

(7)
“Warranty” means a warranty that a person that manufactures, imports or sells
property or services makes without charge, that is not negotiated or separated
from the sale of the product and is incidental to the sale of the product, and
that guarantees indemnity for defective parts, mechanical or electrical
breakdown, labor or other remedial measures, such as repair or replacement of
the property or repetition of services. [Formerly 646.265; 2013 c.527 §1]

646A.154
Service contract defined; registration; proof of financial stability; bond;
action; rules; applicability of Insurance Code. (1)(a) For the
purposes of this section, a service contract is a contract or agreement to
perform or indemnify for a specific duration the repair, replacement or
maintenance of property for operational or structural failure that results from
a defect in materials, workmanship or normal wear and tear, with or without an
additional incidental provision to pay indemnity under limited circumstances,
including but not limited to rental and emergency road service. A service
contract may also provide for:

(A)
Repairing, replacing or maintaining property for damage that results from
lightning, power surges or accidental damage from handling;

(B)
Repairing or replacing tires or wheels on a motor vehicle damaged as a result
of contacting a road hazard;

(C)
Removing dents, dings, creases or other damage on a motor vehicle that a
process of paintless dent removal can repair without affecting an existing
paint finish or replacing vehicle body panels, sanding, bonding or repainting;

(D)
Repairing chips or cracks in motor vehicle windshields or replacing motor
vehicle windshields because of damage that results from road hazards;

(E)
Replacing motor vehicle keys or key fobs that become inoperable or that are
lost or stolen;

(F)
Paying specified incidental costs that result from the failure of a vehicle
protection product, as defined in ORS 646A.430, to perform according to the
specifications for the vehicle protection product; and

(G)
Other services the Director of the Department of Consumer and Business Services
specifies by rule, to the extent that the services are similar to services
described in this paragraph.

(b)
For the purposes of this section, a service contract does not include coverage
for repairing damage to or replacing components of a motor vehicle’s interior
or exterior paint or finish unless the service contract provides the services
described in this paragraph in connection with the sale of a vehicle protection
product, as defined in ORS 646A.430.

(c)
Consideration for a service contract must be stated separately from the price
of the consumer product.

(d)
For purposes of this section, a service contract does not include insurance
policies that insurers issue under the Insurance Code or maintenance
agreements.

(2)
An obligor may not issue, sell or offer for sale a service contract in this
state unless the obligor has complied with the provisions of this section and
ORS 646A.156 and 646A.158.

(3)
All obligors of service contracts issued, sold or covering property located in
this state shall file a registration with the Department of Consumer and
Business Services on a form, at a fee and at a frequency that the director
specifies under ORS 646A.168.

(5)
Except as provided in subsection (6) of this section, to ensure the faithful
performance of an obligor’s obligations to the obligor’s contract holders, each
obligor shall provide the director with one of the following as proof of
financial stability:

(a)
A copy of the obligor’s most recent Form 10-K that the obligor or the obligor’s
parent company, if the obligor consolidates financial statements with a parent
company, filed with the Securities and Exchange Commission. A Form 10-K that
the obligor or the obligor’s parent company filed within the last calendar year
must show that the obligor or the obligor’s parent company has a net worth of
at least $100 million. If the obligor’s parent company files the Form 10-K to
meet the obligor’s financial stability requirement, the parent company shall
agree to guarantee the obligations the obligor has in service contracts the
obligor sells in this state.

(b)
Evidence of a reimbursement insurance policy described in ORS 742.390 that an
authorized insurer issues to the obligor and that insures all service contracts
the obligor sells.

(6)(a)
An obligor of a home service agreement as defined in ORS 731.164 shall file
with the director a surety bond executed to the State of Oregon in the sum of
$25,000. The surety bond must be issued by a surety company authorized to do
business in this state. An obligor of a home service agreement does not need to
file proof of financial stability under subsection (5) of this section.

(b)
The surety bond described in paragraph (a) of this subsection must be issued on
the condition that the obligor comply with all provisions of ORS 646A.150 to
646A.172 and fully perform on all contracts or agreements into which the
obligor enters.

(c)
The surety bond must be continuous until canceled and must remain in full force
and unimpaired at all times to comply with this section. The surety shall give
the director at least 30 days’ written notice by registered or certified mail
before the surety cancels or terminates the surety’s liability under the bond.

(d)
Any person who suffers damage as a result of a violation of any provision of
ORS 646A.150 to 646A.172 or any rule the director adopts pursuant to ORS
646A.150 to 646A.172 has a right of action under the bond. The state or a
person with a right of action may bring an action under the bond by filing a
complaint in a court of competent jurisdiction not later than one year after
the surety bond is canceled or terminated. The court may award the prevailing
plaintiff reasonable attorney fees and costs in an action under the bond.

(e)
The aggregate liability of the surety may not exceed the principal sum of the
bond.

(7)
Filing requirements are as follows:

(a)
The obligor shall file with the director proof of financial stability or a
surety bond as required by subsection (5) or (6) of this section.

(b)
The director by rule may specify the procedure for filing the proof of
financial stability or the surety bond.

(c)
A person may not file or cause to be filed with the director any article,
certificate, report, statement, application or any other information required
or permitted to be filed under this subsection that the person knows is false
or misleading in any material respect.

(8)
Service contract sellers and employees of service contract sellers that market,
sell or offer to sell service contracts for obligors who comply with this
section and ORS 646A.156 and 646A.158 are exempt from the requirements of the
Insurance Code including, but not limited to, the requirement to belong to the
Oregon Insurance Guaranty Association.

(9)
Obligors that comply with ORS 646A.156 and 646A.158 do not need to comply with
the Insurance Code including, but not limited to, the requirement to belong to
the Oregon Insurance Guaranty Association.

(10)
If a service contract seller is not the same person as the obligor under the
service contract, the service contract seller shall remit the agreed-upon
consumer purchase price of the service contract to the obligor within 30 days
after selling the service contract or in accordance with terms and conditions
to which the service contract seller and obligor agree in writing. [Formerly
646.267; 2013 c.527 §2]

646A.156
Required contents of service contracts. A service contract issued, sold or offered
for sale in this state shall meet the following requirements:

(1)
The service contract shall be written in clear, understandable language.

(2)
The service contract shall identify the obligor and the service contract
seller.

(3)
If prior approval of repair work is required, the service contract shall state
the procedure for obtaining prior approval and for making a claim, including a
toll-free telephone number for claim service and a procedure for obtaining
reimbursement for emergency repairs performed outside of normal business hours.

(4)
The service contract shall conspicuously state the existence of any deductible
amount.

(5)
The service contract shall specify the merchandise covered, services to be
provided and any limitations, exceptions or exclusions.

(6)
The service contract shall state any terms, restrictions or conditions
governing the transferability of the service contract by the service contract
holder.

(7)
The service contract shall state the terms, restrictions or conditions governing
termination of the service contract by the service contract holder. [Formerly
646.269]

646A.158
Prohibited conduct.
(1) A service contract seller or obligor shall not in a misleading or deceptive
manner use in its name, contracts or literature, the words insurance, casualty,
guaranty, surety, mutual or any other words descriptive of the insurance,
casualty, guaranty, surety or mutual business.

(2)
In the offer or sale of any service contract, a person may not:

(a)
Make, issue, circulate or cause to be made, issued or circulated, any estimate,
illustration, circular or statement misrepresenting the terms of any service
contract sold or to be sold or the benefits or advantages therein.

(b)
Employ any device, scheme or artifice to defraud.

(c)
Obtain money or property by means of any untrue statement of a material fact or
any omission to state a material fact necessary in order to make the statement
made, in light of the circumstances under which it was made, not misleading.

(d)
Engage in any other transaction, practice or course of business which operates
as a fraud or deceit upon the service contract holder.

(3)
In providing required services under a service contract, a person may not:

(a)
Fail to acknowledge and act within a reasonable time upon communications
requesting services under a service contract. Unless the service contract
provides otherwise, a person shall be deemed to have acted within a reasonable
time if the person responds to a communication received from a service contract
holder within 30 days of receipt of the communication.

(b)
Fail to act in good faith in reviewing a request for services under a service
contract and advising the service contract holder whether the request is
covered under the terms and conditions of the service contract.

(c)
Fail to act in good faith in providing covered services under a service
contract. [Formerly 646.271]

646A.160
Service contract obligor as agent of insurer; indemnification or subrogation
rights of insurer.
(1) An obligor is considered to be the agent of the insurer that issued the
reimbursement insurance policy. If a service contract seller acts as an obligor
and enlists other service contract sellers, the service contract seller acting
as the obligor shall notify the insurer of the existence and identities of the
other service contract sellers.

(2)
An insurer that issues a reimbursement insurance policy may seek
indemnification or subrogation against a service contract seller if the issuer
pays or is obligated to pay the service contract holder sums that the service
contract seller was obligated to pay pursuant to the provisions of the service
contract or under a contractual agreement. [Formerly 646.273]

646A.162
Investigation of violations; inspection of records; subpoenas; discontinue or
desist order; civil penalties. (1) The Director of the Department of
Consumer and Business Services may, upon a reasonable belief that a violation
of ORS 646A.154, 646A.156 or 646A.158 has occurred, make necessary public and
private investigations within or without this state to determine whether any
person has violated those provisions.

(2)
In connection with any investigation conducted pursuant to subsection (1) of
this section, a service contract seller or obligor, upon written request of the
director, shall make available to the director its service contract records for
inspection and copying. The records that must be made available in accordance
with this section shall be only those records necessary to enable the director
to reasonably determine compliance with ORS 646A.154, 646A.156 and 646A.158.

(3)
For the purpose of an investigation or proceeding under subsection (1) of this
section, the director may administer oaths and affirmations, subpoena
witnesses, compel their attendance, take evidence and require the production of
books, papers, correspondence, memoranda, agreements or other documents or
records that are relevant or material to the inquiry. Each witness who appears
before the director under a subpoena shall receive the fees and mileage provided
for witnesses in ORS 44.415 (2).

(4)
If a person fails to comply with a subpoena issued under subsection (3) of this
section, or a party or witness refuses to testify on any matters, the judge of
the circuit court for any county, on the application of the director, shall
compel obedience by proceedings for contempt as in the case of disobedience of
the requirements of a subpoena issued from such court or a refusal to testify
therein.

(5)
The director may, upon a reasonable belief that a person is or is about to be
in violation of ORS 646A.154, 646A.156 or 646A.158, issue an order, directed to
the person, to discontinue or desist from the violation or threatened
violation. The copy of the order forwarded to the person involved shall set
forth a statement of the specific charges and the fact that the person may
request a hearing within 20 days of the date of mailing. Where a hearing is
requested, the director shall set a date for the hearing to be held within 30
days after receipt of the request, and shall give the person involved written
notice of the hearing date at least seven days prior thereto. The person
requesting the hearing must establish to the satisfaction of the director that
the order should not be complied with. The order shall become final 20 days
after the date of mailing unless within the 20-day period the person to whom it
is directed files with the director a written request for a hearing. To the
extent applicable and not inconsistent with the foregoing, the provisions of
ORS chapter 183 shall govern the hearing procedure and any judicial review
thereof. Where the hearing has been requested, the director’s order shall
become final at such time as the right to further hearing or review has expired
or been exhausted.

(6)
A person who is found to have violated ORS 646A.154, 646A.156 or 646A.158 may
be ordered to pay to the General Fund a civil penalty in an amount determined
by the director of not more than:

(a)
$2,000 for the first violation.

(b)
$5,000 for the second violation.

(c)
$10,000 for any subsequent violation.

(7)
For purposes of this section, a violation consists of a single course of
conduct which is determined by the director to be untrue or misleading. [Formerly
646.275]

646A.164
Complaints and investigations confidential; exceptions. (1) Except as
provided in subsection (3) of this section, a complaint made to the director
against any person regulated by ORS 646A.150 to 646A.172, 742.390 and 742.392,
and the record thereof, shall be confidential, and shall not be disclosed or
available for public inspection or review. No such complaint, or the record
thereof, shall be used in any action, suit or proceeding except to the extent
it is essential to the prosecution of apparent violations of ORS 646A.150 to
646A.172, 742.390 and 742.392.

(2)
Except as provided in subsection (3) of this section, data gathered pursuant to
any investigation by the director shall be confidential, and shall not be
disclosed or available for public inspection or review. The data shall not be
used in any action, suit or proceeding except to the extent it is essential in
the investigation or prosecution of apparent violations of ORS 646A.150 to
646A.172, 742.390 and 742.392.

(3)
Notwithstanding subsections (1) and (2) of this section, the director may
disclose any complaint and any data gathered pursuant to ORS 646A.150 to
646A.172, 742.390 and 742.392 to any state, federal or local enforcement
agency. The recipient agency may use the complaint and data for any official
purpose, including the civil enforcement of laws subject to the agency
jurisdiction. [Formerly 646.277]

646A.166
Refusal to continue or suspension or revocation of registration. The Director of
the Department of Consumer and Business Services may refuse to continue or may
suspend or revoke an obligor’s registration if the director finds after a
hearing that:

(1)
The obligor has intentionally engaged in a pattern or practice of failing to
comply with any lawful order of the director relating to a prior violation of
ORS 646A.158 (3)(c).

(2)
The obligor fails to meet or maintain the financial stability requirements set
forth in ORS 646A.154. [Formerly 646.279]

646A.168
Assessment fee; rules; purpose; registration fee. (1) Each
obligor that issues a service contract to a resident of this state shall pay an
assessment not to exceed $1,000 to the Director of the Department of Consumer
and Business Services for the purpose of supporting the legislatively
authorized budget of the department for administering ORS 646A.150 to 646A.172,
742.390 and 742.392. The director shall determine by rule the basis of
assessment, the amount or rate of assessment and when assessments shall be
paid.

(2)
The fee prescribed by the director for registration under ORS 646A.154 shall
not exceed $200 per obligor per year. [Formerly 646.281]

646A.170
Remedies not exclusive. The application of any remedy under any provision
of ORS 646A.150 to 646A.172, 742.390 and 742.392 shall not preclude the
application of any other remedy under ORS 646A.150 to 646A.172, 742.390 and
742.392 or any other provision of law. The application of any remedy under any
provision of law shall not preclude the application of any remedy under ORS
646A.150 to 646A.172, 742.390 and 742.392. [Formerly 646.283]

646A.172
Rules; exemption of certain obligors. (1) The Director of the Department of
Consumer and Business Services may adopt rules necessary to implement ORS
646A.150 to 646A.172.

(2)
The director may by rule exempt certain obligors or service contract sellers or
specific classes of service contracts that are not otherwise exempt under ORS
646A.150 (2) from any provision of ORS 646A.150 to 646A.172, 742.390 and
742.392. The director may include in the rules substitute requirements on a
finding that a particular provision of ORS 646A.150 to 646A.172, 742.390 and
742.392 is not necessary for the protection of the public or that the
substitute requirement is reasonably certain to provide equivalent protection
to the public. [Formerly 646.285]

CREDIT
AND PURCHASING

(Credit
and Debit Card Receipts)

646A.200
Definitions for ORS 646A.202 and 646A.204. As used in ORS 646A.202 and
646A.204:

646A.202
Payment processing systems. A person may not sell, lease or rent a payment
processing system that provides a customer receipt that shows more information
about a customer than the customer’s name and five digits of the customer’s
credit or debit card number. [Formerly 646.887]

646A.204
Customer information.
(1) In a credit or debit card transaction with a customer, a person may not
create a customer receipt that shows more information about a customer than the
customer’s name and five digits of the customer’s credit or debit card number.

(2)
A person that creates or retains a copy of a receipt containing more
information about a customer than the customer’s name and five digits of the
customer’s credit or debit card number shall shred, incinerate or otherwise
destroy the copy on or before the sooner of:

(a)
The date the image of the copy is transferred onto microfilm or microfiche; or

(b)
Thirty-six months after the date of the transaction that created the copy. [Formerly
646.888]

646A.206
Rules.
The Attorney General may adopt rules under ORS chapter 183 to carry out the
provisions of ORS 646A.200, 646A.202 and 646A.204. [Formerly 646.889]

646A.210
Requiring credit card number as condition for accepting check or share draft
prohibited; exceptions. (1) A person shall not require as a condition of
acceptance of a check or share draft, or as a means of identification, that the
person presenting the check or share draft provide a credit card number or
expiration date, or both, unless the credit is issued by the person requiring
the information.

(2)
Subsection (1) of this section shall not prohibit a person from:

(a)
Requesting a person presenting a check or share draft to display a credit card
as indicia of creditworthiness and financial responsibility or as a source of
additional identification;

(b)
Recording the type of credit card and the issuer of the credit card displayed
by the person under paragraph (a) of this subsection;

(c)
Requesting or receiving a credit card number or expiration date, or both, and
recording the number or date, or both, in lieu of a security deposit to assure
payment in event of default, loss, damage or other occurrence;

(d)
Recording a credit card number or expiration date, or both, as a condition for
acceptance of a check or share draft where the card issuer guarantees checks or
share drafts presented by the cardholder upon the condition that the person to
whom the check is presented records the card number or expiration date, or
both, on the check or share draft;

(e)
Requesting and recording the name, address, motor vehicle operator license
number or state identification card number and telephone number of a person
offering payment by check; or

(f)
Verifying the signature, name and expiration date on a credit card.

(3)
This section does not require acceptance of a check or share draft whether or
not a credit card is presented.

(4)
For purposes of this section, “person” means any individual, corporation,
partnership or association. [Formerly 646.892]

646A.212
“Credit card” defined. As used in ORS 646A.210 and 646A.214, “credit card”
has the meaning given that term under the federal Consumer Credit Protection
Act (P.L. 90-321, 82 Stat. 146, 15 U.S.C. 1602). [Formerly 646.893]

646A.214
Verification of identity in credit or debit card transactions. (1) A merchant
that accepts a credit card or debit card for a transaction may require that the
credit card or debit card holder provide personal information, other than the
personal information that appears on the face of the credit card or debit card,
for the purposes of verification of the card holder’s identity. The merchant
may not write the information on the credit card or debit card transaction
form.

(2)
This section may not be construed to prevent a merchant from requesting and
keeping in written form information necessary for shipping, delivery or
installation of purchased goods or services, or for warranty when the
information is provided voluntarily by a credit card or debit card holder.

(3)
Any provision in a contract between a merchant and a credit card or debit card
issuer, financial institution or other person that prohibits the merchant from
verifying the identity of a person who presents a credit card or debit card in
payment for goods or services by requiring or requesting identification is
contrary to public policy and void.

(4)
Nothing in this section may be construed to:

(a)
Compel a merchant to verify the identity of a person who presents a credit card
or debit card in payment for goods or services; or

(b)
Interfere with the ability of a merchant to make and enforce policies regarding
verification of the identity of a person who presents a credit card or debit
card in payment for goods or services.

(5)
As used in this section, “merchant” means a person who, in the ordinary course
of that person’s business, permits persons to present credit cards or debit
cards in payment for goods or services. [Formerly 646.894]

(a)
The annual percentage rate or rates applicable to the credit card account. If
the rate or rates are variable, the solicitation shall disclose that fact and
shall further disclose either the rate or rates on a specified date or the
index from which the rate or rates are determined.

(b)
Any minimum, fixed, transaction, activity or similar charge that could be
imposed in connection with any use of the credit card.

(c)
Any annual or periodic membership or participation fee that may be imposed for
the availability, issuance or renewal of the credit card.

(d)
Whether or not any time period is provided within which any credit extended
through the use of the credit card may be repaid without incurring a finance
charge, and a description of any such time period.

(b)
“Reasonable time” means the period beginning at the time of publication of a
magazine, newspaper or other publication and ending at the time of the next
publication of the magazine, newspaper or other publication, but in no case
shall the period exceed 90 days following the date of publication.

(c)
“Solicitation” means printed material primarily offering to issue a credit card
including printed material mailed directly to a person by name that contains an
application for or an offer to issue a credit card in the person’s name,
application materials available at the credit card issuer’s place of business
or other locations or application materials, printed advertisements or other
printed information or materials contained in a magazine, newspaper or other
publication which shall be considered current at the time of publication and
for a reasonable time thereafter. “Solicitation” does not include material
which only refers to credit cards as one of the services provided by the issuer
nor does it include offers made by radio or television or through a catalog. “Solicitation”
does not include an incidental reference to a credit card in the printed
material. [Formerly 646.895]

646A.222
Charge card solicitation; required disclosure; definitions. (1) A charge
card solicitation shall disclose clearly and conspicuously the annual fees and
other charges, if any, applicable to the issuance or use of the charge card.

(2)
As used in this section:

(a)
“Charge card” means any card, plate or other credit device under which the
issuer of the charge card extends credit to the card holder that is not subject
to a finance charge and the card holder does not have automatic access to
credit repayable in installments.

(b)
“Reasonable time” means the period beginning at the time of publication of a
magazine, newspaper or other publication and ending at the time of the next
publication of the magazine, newspaper or other publication, but in no case
shall the period exceed 90 days following the date of publication.

(c)
“Solicitation” means printed material primarily offering to issue a charge card
including printed material mailed directly to a person by name that contains an
application for or an offer to issue a charge card in the person’s name,
application materials available at the charge card issuer’s place of business
or other locations or application materials, printed advertisements or other
printed information or materials contained in a magazine, newspaper or other
publication which shall be considered current at the time of publication and
for a reasonable time thereafter. “Solicitation” does not include material
which only refers to charge cards as one of the services provided by the issuer
nor does it include offers made by radio or television or through a catalog. “Solicitation”
does not include an incidental reference to a charge card in the printed
material. [Formerly 646.897]

(Enforcement)

646A.230
Action by Attorney General or district attorney; civil penalties. (1)(a) The
Attorney General or a district attorney may bring an action in the name of the
state against a person to restrain and prevent a violation of ORS 646A.202,
646A.204, 646A.220 or 646A.222.

(b)
The Attorney General or a district attorney may in the name of the state seek
and obtain a civil penalty from a person who violates an order or injunction
issued pursuant to this subsection.

(2)(a)
A person who violates an order or injunction issued pursuant to subsection (1)
of this section shall forfeit and pay a civil penalty of not more than $1,000
per violation. The circuit court issuing the order or injunction retains
jurisdiction of the action to consider a request for a civil penalty.

(b)
In an action brought by a prosecuting attorney under this section, the court
may award the prevailing party, in addition to any other relief provided by
law, reasonable attorney fees at trial and on appeal. [Formerly 646.899]

646A.232
Effect of compliance with federal law. A person who is in compliance with the
requirements of the Fair Credit and Charge Card Disclosure Act, (Public Law
100-583), shall also be considered in compliance with the requirements of ORS
646A.220 and 646A.222. [Formerly 646.901]

(Extension
of Credit)

646A.240
Treatment of child support obligations by creditor in applications for
extensions of credit.
In evaluating applications for extensions of credit, a creditor may not:

(1)
Treat an applicant’s obligation to pay child support more adversely than the
creditor treats or would treat another obligation for the same amount, terms
and duration as the child support obligation; or

(2)
Deny an application solely because the applicant used the applicant’s business
address instead of the applicant’s residential address if a law of this state
or a local government ordinance permits the applicant to use a business address
in lieu of a residential address. [Formerly 646.861; 2009 c.183 §1]

646A.242
“Creditor” defined.
As used in ORS 646A.240 to 646A.244, “creditor” means a person who, in the
ordinary course of the person’s business, regularly permits debtors to defer
payment of their debts, or to incur debt and defer the payment thereof, and in
either case, to pay the same with a finance charge or in more than four
installments. [Formerly 646.863]

646A.244
Cause of action for violation of ORS 646A.240; injunction; attorney fees;
defenses.
(1) Except as provided in subsection (2) of this section, a person who is
adversely affected by a creditor’s violation of ORS 646A.240 shall have a cause
of action to recover compensatory damages against the creditor and may also
apply to a court for an injunction to prevent the creditor’s further violation
of ORS 646A.240. If the damages are awarded, or an injunction granted, the
person shall be entitled to reasonable attorney fees at trial and on appeal, as
determined by the court in addition to costs and necessary disbursements.

(2)
A creditor shall have no liability for compensatory damages, attorney fees or
otherwise and no injunction shall issue:

(a)
Where the creditor shows by a preponderance of evidence that the violation was
not intentional and resulted from a bona fide error notwithstanding the
maintenance of procedures reasonably adopted to avoid any such error; or

(b)
Where in violating ORS 646A.240, the creditor shows by a preponderance of
evidence that it acted in good faith, in conformity with any statute, law,
ordinance, rule, regulation, administrative interpretation or judicial
determination then applicable to the transaction in question. [Formerly
646.865]

646A.250 [Formerly
646.380; repealed by 2009 c.604 §27]

646A.252 [Formerly
646.382; repealed by 2009 c.604 §27]

646A.254 [Formerly
646.384; repealed by 2009 c.604 §27]

646A.256 [Formerly
646.386; repealed by 2009 c.604 §27]

646A.258 [Formerly
646.388; repealed by 2009 c.604 §27]

646A.260 [Formerly
646.390; repealed by 2009 c.604 §27]

646A.262 [Formerly
646.392; repealed by 2009 c.604 §27]

646A.264 [Formerly
646.394; repealed by 2009 c.604 §27]

646A.266 [Formerly
646.396; repealed by 2009 c.604 §27]

646A.268 [Formerly
646.397; repealed by 2009 c.604 §27]

646A.270 [Formerly
646.398; repealed by 2009 c.604 §27]

(Gift
Cards)

646A.274
Definitions for ORS 646A.276 and 646A.278. As used in ORS 646A.276 and
646A.278, “gift card” means a prefunded record evidencing a promise that the
issuer will provide goods or services to the owner of the record in the amount
shown in the record. “Gift card” does not include prepaid telephone calling
cards, prepaid commercial mobile radio services as defined in 47 C.F.R. 20.3 or
any gift card usable with more than one seller of goods or services. [2007
c.772 §1]

646A.276
Sale of gift card that expires, declines in value, includes fee or does not
give option to redeem. (1) Except as provided in subsection (2) of this
section and ORS 646A.278, a person may not sell a gift card:

(a)
That has an expiration date;

(b)
That has a face value that declines as a result of the passage of time or the
lack of use of the card;

(c)
That has a fee related to the card, including, but not limited to, an
inactivity fee, a maintenance fee or a service fee; or

(d)
That does not give the cardholder the option to redeem the card for cash when
the face value of the card has declined to an amount less than $5 and the card
has been used for at least one purchase. For purposes of this paragraph, “cash”
means money or a check.

(2)
Subsection (1)(d) of this section does not apply to:

(a)
Gift cards that have been given for free or less than full consideration to a
person or entity as a donation or as part of a promotional offer;

(b)
Gift cards issued by an entity that provides services that are subject to the
federal Communications Act of 1934 (47 U.S.C. 151 et seq.); and

(c)
Gift cards redeemed to an online account for the purchase of goods or services.

(3)
Redemption under subsection (1)(d) of this section may be obtained only from
the provider of goods or services indicated on the gift card regardless of
whether the provider is the issuer of the gift card. [2007 c.772 §2; 2011 c.336
§1]

646A.278
Requirements for sale of gift card that expires. A person may
sell a gift card that has an expiration date if:

(1)
The gift card bears, in at least 10-point type, the words “EXPIRES ON” or “EXPIRATION
DATE” followed by the date on which the card expires;

(2)
The person sells the gift card at a cost below the face value of the card; and

(3)
The gift card does not expire until at least 30 days after the date of sale. [2007
c.772 §3]

(Simulated
Invoices)

646A.280
Definitions for ORS 646A.280 to 646A.290. As used in ORS 646A.280 to
646A.290:

(1)
“Invoice” means a document containing an itemized list of previously ordered
goods or services and an amount or amounts of money owed by the recipient of
the document.

(2)
“Recipient” means the person to whom an invoice or simulated invoice is
uttered.

(3)
“Simulated invoice” means a document containing an itemized list of unordered
goods or services and an amount or amounts of money to be paid by the recipient
of the document.

(4)
“Utter” has the meaning given in ORS 165.002. [Formerly 646.291]

646A.282
Simulated invoices prohibited. It is unlawful for any person to utter
a simulated invoice if:

(1)
A reasonable recipient could, under all the circumstances of its receipt,
mistake the simulated invoice for an invoice; or

(2)
The person knows or reasonably should know that a recipient could mistake the
simulated invoice for an invoice. [Formerly 646.293]

646A.284
Cause of action by Attorney General; judgment; attorney fees. (1) The
Attorney General shall have a cause of action against any person who violates
ORS 646A.282.

(2)
If the Attorney General prevails, the court shall enter judgment against the
defendant for:

(a)
Each simulated invoice uttered in this state, for the greater of:

(A)
Three times the amount stated in the simulated invoice; or

(B)
$500;

(b)
Such orders or judgments as may be necessary to restore to any person any
moneys of which the person was deprived by any conduct in violation of ORS
646A.282; and

(c)
Such orders or judgments as may be necessary to ensure cessation of conduct in
violation of ORS 646A.282.

(3)
The court may award reasonable attorney fees to the prevailing party in an
action under this section.

(4)
All sums of money received by the Department of Justice under a judgment,
settlement or compromise in an action or potential action brought under this
section, shall, upon receipt, be deposited with the State Treasurer to the
credit of the Department of Justice Protection and Education Revolving Account
established pursuant to ORS 180.095. [Formerly 646.296; 2009 c.820 §3]

646A.286
Cause of action by private party; judgment; attorney fees. (1) A recipient
of a simulated invoice who has suffered any ascertainable loss as a result
shall have a cause of action against any person who violates ORS 646A.282.

(2)
If the recipient prevails, the court shall enter judgment against the defendant
for:

(a)
The greater of:

(A)
Three times the amount stated in the simulated invoice received; or

(B)
$500 for each simulated invoice received;

(b)
Such orders or judgments as may be necessary to restore to the recipient any
moneys of which the recipient was deprived by any conduct in violation of ORS
646A.282; and

(c)
Such orders or judgments as may be necessary to ensure cessation of conduct in
violation of ORS 646A.282.

(3)
The court may award reasonable attorney fees to the prevailing party in an
action under this section. [Formerly 646.298]

646A.288
Presumptions in cause of action brought under ORS 646A.284 or 646A.286. In any action
brought under ORS 646A.284 or 646A.286, the following presumptions apply:

(1)
A simulated invoice that has been paid by five or more persons could be
mistaken for an invoice by a reasonable recipient.

(2)
A person knows that a simulated invoice uttered simultaneously with a copy of a
publication or portion of a publication previously ordered by the recipient
from a person other than the person uttering the simulated invoice could be
mistaken for an invoice by a reasonable recipient. [Formerly 646.300]

646A.290
Construction; other remedies. (1) The provisions of ORS 646A.280 to
646A.290 shall be liberally construed to effectuate its remedial purposes.

(2)
The remedy provided by ORS 646A.280 to 646A.290 is in addition to any other
remedy, civil or criminal, that may be available under any other provision of
law. Claims based on remedies available under other provisions of law may be
joined in an action under ORS 646A.280 to 646A.290 or may be asserted in a
separate action. [Formerly 646.302]

(Automatic
Renewal and Continuous Service Offers)

646A.292
Legislative intent.
It is the intent of the Legislative Assembly to end the practice of ongoing
charging of consumer credit or debit cards or third party payment accounts
without the consumers’ explicit consent for ongoing shipments of a product or
ongoing deliveries of service. [2011 c.509 §1]

646A.293
Definitions for ORS 646A.293 and 646A.295. As used in this section and ORS
646A.295:

(1)
“Automatic renewal” means a plan or arrangement in which a paid subscription or
purchasing agreement is automatically renewed at the end of a definite term for
a subsequent term.

(2)
“Clear and conspicuous” means in larger type than the surrounding text, or in
contrasting type, font or color to the surrounding text of the same size, or
set off from the surrounding text of the same size by symbols or other marks,
in a manner that clearly calls attention to the language. In the case of an
audio disclosure, “clear and conspicuous” means in a volume and cadence
sufficient to be readily audible and understandable.

(3)
“Consumer” means any individual who seeks or acquires, by purchase or lease,
any goods, services, money or credit for personal, family or household
purposes.

(4)
“Continuous service” means a plan or arrangement in which a paid subscription
or purchasing agreement continues until the consumer cancels the service.

(5)
“Offer terms” means the following clear and conspicuous disclosures:

(a)
That the subscription or purchasing agreement will continue until the consumer
cancels.

(b)
The description of the cancellation policy that applies to the offer.

(c)
The recurring charges that will be charged to the consumer’s credit or debit
card or payment account with a third party as part of the automatic renewal or
continuous service plan or arrangement, and, if the amount of the charge will
change, the amount to which the charge will change, if known.

(d)
The length of the automatic renewal term or that the service is continuous,
unless the length of the term is chosen by the consumer.

(e)
The minimum purchase obligation, if any.

(6)
“Person” has the meaning given that term in ORS 646.605. [2011 c.509 §2]

646A.295
Prohibited actions; requirements; timing; failure to obtain consent;
exceptions.
(1) It is unlawful for a person that makes an automatic renewal or continuous
service offer to a consumer in this state to do any of the following:

(a)
Fail to present the automatic renewal offer terms or continuous service offer
terms in a clear and conspicuous manner before a subscription or purchasing
agreement is fulfilled and in visual proximity, or in the case of an offer
conveyed by voice, in temporal proximity, to the request for consent to the
offer.

(b)
Charge the consumer’s credit or debit card or payment account with a third
party for an automatic renewal or continuous service without first obtaining
the consumer’s affirmative consent to the agreement containing the automatic
renewal offer terms or continuous service offer terms.

(c)
Fail to provide an acknowledgment that includes the automatic renewal offer
terms or continuous service offer terms and information regarding how to cancel
in a manner that is capable of being retained by the consumer. If the offer
includes a free trial, the person shall also disclose in the acknowledgment how
to cancel and allow the consumer to cancel before the consumer pays for the
goods or services.

(2)
A person making automatic renewal or continuous service offers shall provide a
toll-free telephone number, electronic mail address, a post-office address only
when the person directly bills the consumer, or another cost-effective, timely
and easy-to-use mechanism for cancellation that must be described in the
acknowledgment required by subsection (1)(c) of this section.

(3)
In the case of a material change in the terms of the automatic renewal or
continuous service offer that has been accepted by a consumer, the person shall
provide the consumer with a clear and conspicuous notice of the material change
and provide information regarding how to cancel in a manner that is capable of
being retained by the consumer.

(4)
The requirements of this section must be met prior to the completion of the
initial order for the automatic renewal or continuous service, except as
follows:

(a)
The requirement in subsection (1)(c) of this section may be fulfilled after
completion of the initial order.

(b)
The requirement in subsection (3) of this section must be fulfilled prior to
implementation of the material change.

(c)
The requirements in subsection (1)(a) and (c) of this section may be fulfilled
in the initial billing statement or invoice provided to the consumer when the
person directly bills the consumer.

(5)
In the event a person sends goods, wares, merchandise or products to a consumer
under a continuous service agreement or pursuant to an automatic renewal of a
purchase without first obtaining the consumer’s affirmative consent as required
in subsection (1) of this section, the goods, wares, merchandise or products
shall for all purposes be deemed an unconditional gift to the consumer who may
use or dispose of them in any manner the consumer sees fit without any
obligation to the person including, but not limited to, requiring the consumer
to ship, or bear the cost of shipping, any goods, wares, merchandise or
products to the person.

(6)
The following are exempt from the requirements of this section:

(a)
A person that provides a service pursuant to a franchise issued by a political
subdivision of the state or a license, franchise, certificate or other
authorization issued by the Public Utility Commission of Oregon.

(b)
A person that provides a service regulated by the Public Utility Commission of
Oregon, the Federal Communications Commission or the Federal Energy Regulatory
Commission.

(c)
A person regulated by the Department of Consumer and Business Services under
the Insurance Code.

(d)
A bank, bank holding company, or the subsidiary or affiliate of either, or a
credit union or other financial institution or trust company as those terms are
defined in ORS 706.008, that is licensed under state or federal law.

(e)
A person that is regulated as a service contract seller under ORS 646A.150 to
646A.172.

646A.300
Definitions for ORS 646A.300 to 646A.322. As used in ORS 646A.300 to
646A.322:

(1)
“Catalog” includes catalogs published in any medium, including electronic
catalogs.

(2)
“Change in competitive circumstances” means a material detrimental effect on a
retailer’s ability to compete with another retailer who sells the same brand of
farm implements.

(3)
“Current model” means a model listed in the supplier’s current sales manual or
any supplements to the manual.

(4)
“Current net price” means:

(a)
The price of parts or farm implements listed in the supplier’s price list or
catalog in effect at the time the contract is canceled or discontinued, less
any applicable trade, volume or cash discounts, or when the retailer made a
warranty claim.

(b)
For superseded parts, the price listed in the supplier’s price list or catalog
when the retailer purchased the parts.

(5)
“Current signs” means the principal outdoor signs that:

(a)
The supplier requires a retailer to obtain;

(b)
Identify the supplier; and

(c)
Identify the retailer as representing the supplier or the supplier’s farm
implements or machinery.

(6)
“Dealership” means the location from which a retailer buys, sells, leases,
trades, stores, takes on consignment or in any other manner deals in farm
implements.

(7)
“Distributor” means a person who sells or distributes new farm implements to a
retailer.

(8)
“Farm implements” means:

(a)
Any vehicle designed or adapted and used exclusively for agricultural
operations and only incidentally operated or used upon the highways;

(b)
Auxiliary items, such as trailers, used with vehicles designed or adapted for
agricultural operations;

(c)
Other consumer products for agricultural purposes, including lawn and garden
equipment powered by an engine, supplied by the supplier to the retailer pursuant
to a retailer agreement;

(d)
Attachments and accessories used in the planting, cultivating, irrigating,
harvesting and marketing of agricultural, horticultural or livestock products;
and

(e)
Outdoor power equipment, including, but not limited to, self-propelled
equipment used to maintain lawns and gardens or used in landscape, turf or golf
course maintenance.

(9)
“F.O.B.” has the meaning given that term in ORS 72.3190.

(10)
“Inventory” means farm implements, machinery and repair parts.

(11)
“Manufacturer” means a person who manufactures or assembles new or unused farm
implements.

(12)
“Net cost” means the price the retailer actually paid for the merchandise to
the supplier.

(13)
“Retailer” means any person engaged in the business of retailing farm implements,
machinery or repair parts in this state.

(14)
“Retailer agreement” means an agreement between a supplier and a retailer that
provides for the rights and obligations of the parties with respect to purchase
or sale of farm implements.

(15)
“Specialized tool” means a tool that:

(a)
The supplier requires a retailer to obtain; and

(b)
Is unique to the diagnosis or repair of the supplier’s farm implements or
machinery.

(b)
A successor in interest of a manufacturer, manufacturer’s representative or
distributor, including, but not limited to:

(A)
A purchaser of assets or shares of stock;

(B)
A corporation or entity resulting from merger, liquidation or reorganization;
or

(C)
A receiver or trustee.

(c)
The assignee of a supplier.

(17)
“Warranty claim” means a claim for payment submitted by a retailer to a
supplier for service or parts provided to a customer under a warranty issued by
the supplier. [Formerly 646.415]

646A.302
Application of ORS 646A.300 to 646A.322 to successor in interest or assignee of
supplier.
The obligations of a supplier under ORS 646A.300 to 646A.322 apply to the
supplier’s successor in interest or assignee. A successor in interest includes
a purchaser of assets or shares, a surviving corporation or other entity
resulting from a merger or liquidation, a receiver and a trustee of the
original supplier. [Formerly 646.419]

646A.304
Payment for farm implements, parts, software, tools and signs upon termination
of retailer agreement. (1) If a retailer agreement is terminated, canceled
or discontinued, unless the retailer elects to keep the farm implements,
machinery and repair parts under a contractual right to do so, the supplier
shall pay the retailer for the farm implements, machinery and repair parts or,
if the retailer owes any sums to the supplier, credit the cost of the farm
implements, machinery and repair parts to the retailer’s account. The payment
or credit shall be as follows:

(a)
The payment or the credit for the unused complete farm implements and machinery
in new condition shall be in a sum equal to 100 percent of the net cost of all
complete farm implements and machinery that are current models and that have
been purchased by the retailer from the supplier within the 24 months
immediately preceding notice of intent to cancel or discontinue the retailer
agreement. The payment or credit shall include the transportation charges to
the retailer and from the retailer to the supplier, if the charges have been
paid by the retailer or invoiced to the retailer’s account by the supplier, and
a reasonable reimbursement for services performed in connection with assembly
or predelivery inspection of the implements or machinery. The supplier assumes
ownership of the farm implements and machinery F.O.B. the dealership.

(b)
The payment or credit for equipment used for demonstration or rental and that
is in new condition shall equal the depreciated value of the equipment to which
the supplier and retailer have agreed.

(c)(A)
The payment or credit for repair parts shall be a sum equal to 95 percent of
the current net prices of the repair parts, including superseded parts, plus
the charges for transportation from the retailer to the destination designated
by the supplier that the retailer paid or the supplier invoiced to the retailer’s
account. The supplier assumes ownership of the repair parts F.O.B. the
dealership.

(B)
This paragraph applies to parts purchased by the retailer from the supplier and
held by the retailer on or after the date of the cancellation or discontinuance
of the retailer agreement.

(C)
This paragraph does not apply to repair parts that:

(i)
The supplier identified as not returnable when the retailer ordered the parts.

(ii)
The retailer purchased in a set of multiple parts, unless the set is complete
and in resalable condition.

(iii)
The retailer failed to return after being offered a reasonable opportunity to
return the repair part at a price not less than 100 percent of the net price of
the repair part as listed in the then current price list or catalog.

(iv)
Have a limited storage life or are otherwise subject to deterioration,
including but not limited to rubber items, gaskets and batteries and repair
parts in broken or damaged packages.

(v)
Are single repair parts priced as a set of two or more items.

(vi)
Are not resalable as new parts without new packaging or reconditioning because
of their condition.

(D)
The supplier shall also pay the retailer or credit to the retailer’s account a
sum equal to five percent of the current net price of all parts returned for
the handling, packing and loading of the parts, unless the supplier elects to
list the inventory and perform packing and loading of the parts itself.

(d)
Upon the payment or allowance of credit to the retailer’s account of the sum
under this subsection, the title to the farm implements, farm machinery or
repair parts shall pass to the supplier making the payment or allowing the
credit and the supplier shall be entitled to the possession of the farm
implements, machinery or repair parts.

(2)(a)
If a retailer agreement is terminated, canceled or discontinued, the supplier
shall, upon request of the retailer, pay the retailer for:

(A)
Computer and communications hardware that:

(i)
The supplier required the retailer to purchase within the preceding five years;
and

(ii)
The retailer possesses on the date of the agreement’s termination, cancellation
or discontinuation.

(B)
Computer software that:

(i)
The supplier required the retailer to purchase from the supplier; and

(ii)
The retailer used exclusively to support the retailer’s dealings with the
supplier.

(b)
If the retailer owes any sums to the supplier, the supplier may credit the cost
of the hardware and software to the retailer’s account.

(c)
The payment or credit shall be the net cost of the hardware and software, less
20 percent per year that the retailer possessed the hardware and software.

(d)
This subsection does not apply if the retailer exercises a contractual right to
keep the hardware or software.

(3)(a)
If a retailer agreement is terminated, canceled or discontinued, the supplier
shall pay the retailer for the retailer’s specialized tools.

(b)
If the retailer owes any sums to the supplier, the supplier may credit the cost
of the specialized tools to the retailer’s account.

(c)(A)
If a tool is new and unused and used for the supplier’s current models, the
payment or credit shall be the net cost of the tool.

(B)
If a tool is not new and unused and used for the supplier’s current models, the
payment or credit shall be the net cost of the tool, less 20 percent per year
that the retailer possessed the tool.

(4)(a)
If a retailer agreement is terminated, canceled or discontinued, the supplier
shall pay the retailer for the retailer’s current signs.

(b)
If the retailer owes any sums to the supplier, the supplier may credit the cost
of the signs to the retailer’s account.

(c)
The payment or credit shall be the net cost of the sign, less 20 percent per
year that the retailer possessed the sign.

(5)
A supplier shall provide all payments or allowances due under this section
within 90 calendar days of the retailer’s return of the farm implements,
machinery, repair parts, computer and communications hardware, computer
software, specialized tools or current signs. A supplier who does not provide a
payment or allowance within 90 calendar days of the retailer’s return of the
farm implements, machinery, repair parts, computer and communications hardware,
computer software, specialized tools or current signs shall pay the retailer
interest of 18 percent per annum on the past due amount until paid.

(6)
This section supplements any retailer agreement between the retailer and the
supplier covering the return of farm implements, machinery, repair parts,
computer and communications hardware, computer software, specialized tools or
current signs. The retailer may elect to pursue either the retailer’s remedy
under the retailer agreement or the remedy provided under this section. An
election by the retailer to pursue the remedy under the retailer agreement does
not bar the retailer’s right to the remedy provided under this section as to
those farm implements, machinery, repair parts, computer and communications
hardware, computer software, specialized tools or current signs not affected by
the retailer agreement. This section does not affect the right of a supplier to
charge back to the retailer’s account amounts previously paid or credited as a
discount incident to the retailer’s purchase of goods.

(7)
This section does not apply to farm implements, machinery, repair parts,
computer and communications hardware, computer software, specialized tools or
current signs that a retailer acquired from a source other than the supplier. [Formerly
646.425]

646A.306
Repurchase of inventory by supplier; effect of new retailer agreement. (1) A supplier
shall repurchase the inventory of a retailer, as if the supplier had terminated
the retailer agreement, as follows:

(a)
Upon the death of a retailer whose business is owned as a tenancy by the
entirety, at the option of the spouse or the heir or heirs of the retailer.

(b)
Upon the death of a stockholder of a corporation operating as a retailer, at
the option of the heir or heirs of the stockholder and upon the consent of the
board of directors.

(2)
The surviving spouse or the heir or heirs may exercise the option under this
section not later than one year from the date of the death of the retailer or
the stockholder.

(3)
Nothing in ORS 646A.300 to 646A.322 requires the repurchase of inventory by the
supplier:

(a)
If the supplier and the corporation acting as a retailer enter into a new
retailer agreement to operate the retail dealership.

(b)
If the supplier and the surviving spouse or the heir or heirs of the retailer
enter into a new retailer agreement to operate the retail dealership. [Formerly
646.435]

646A.308
Civil action for supplier’s failure to pay; venue. (1) If, upon
the cancellation of a retailer agreement by the retailer or the supplier, the
supplier fails to make payment as required by ORS 646A.304 or 646A.306, the
supplier shall be liable in a civil action to be brought by the retailer or by
the retailer’s spouse, heir or heirs for the payments required under ORS
646A.304 or 646A.306.

(2)
A person who brings an action under this section must commence the action in
the county in which the principal place of business of the retailer is located.
[Formerly 646.445]

646A.310
Prohibited conduct by supplier. (1) A supplier may not:

(a)
Coerce or compel any retailer to:

(A)
Order any farm implements or parts.

(B)
Accept delivery of farm implements with special features or accessories not
included in the base list price of the farm implements as publicly advertised
by the supplier.

(C)
Enter into any agreement, whether written or oral, supplementary to an existing
retailer agreement with the supplier, unless the supplementary agreement or
amendment to the agreement is applicable to all other similarly situated
retailers in the state.

(b)
Refuse to deliver in reasonable quantities and within a reasonable time after
receipt of the retailer’s order, to any retailer having a retailer agreement
for the retail sale of new equipment sold or distributed by the supplier,
equipment covered by the retailer agreement represented by the supplier to be
available for immediate delivery.

(c)
Require:

(A)
As a condition of renewal or extension of a retailer agreement that the
retailer complete substantial renovation of the retailer’s place of business,
or acquire new or additional space to serve as the retailer’s place of
business, unless the supplier provides at least one year’s written notice of
the condition which states all grounds supporting the condition.

(B)
A retailer to complete a renovation or acquisition in less than a reasonable
time.

(C)
A retailer to waive a right to bring an action to enforce the provisions of ORS
646A.300 to 646A.322.

(d)
Discriminate among similarly situated retailers in this state with respect to
the prices charged for equipment of like grade and quality sold to them by the
supplier.

(e)
Unreasonably withhold consent for a retailer to change the capital structure of
the retailer’s business or the means by which the retailer finances the
business.

(f)
Prevent or attempt to prevent any retailer or any officer, member, partner or
stockholder of any retailer from selling or transferring any interest to any
other party or parties.

(g)
Require a retailer to assent to a release, assignment, novation, waiver or
estoppel which would relieve any person from liability imposed by ORS 646A.300
to 646A.322.

(h)
Withhold consent to a transfer of an interest in a dealership unless the
retailer’s area of responsibility or trade area does not afford sufficient
sales potential to reasonably support a retailer.

(i)
Unreasonably withhold consent to the sale, transfer or assignment of the
retailer’s interest or power of management or control in the retailer’s
business.

(j)
In the event of the death or incapacity of the retailer or the principal owner
of the retailer’s business, unreasonably withhold consent to the transfer of
the retailer’s interest in the business to a person who meets the reasonable
financial, business experience and character standards of the supplier.

(2)(a)
Subsection (1)(a)(A) of this section does not apply if a law requires a
retailer to order farm implements or parts.

(b)
Subsection (1)(a)(B) of this section does not apply if:

(A)
A law requires a supplier to supply farm implements with special features;

(B)
The special features or accessories are safety features; or

(C)
The retailer ordered the farm implements without coercion or compulsion.

(c)(A)
As used in this paragraph, “act of nature” means an unanticipated grave natural
disaster or other natural phenomenon of an exceptional, inevitable and
irresistible character, the effects of which could not have been prevented or
avoided by the exercise of due care or foresight.

(B)
Notwithstanding subsection (1)(b) of this section, a supplier may refuse to
deliver equipment if the refusal is due to:

(i)
Prudent and reasonable restrictions on extension of credit by the supplier to
the retailer;

(ii)
An act of nature;

(iii)
A work stoppage or delay due to a strike or labor difficulty;

(iv)
A bona fide shortage of materials;

(v)
A freight embargo; or

(vi)
Any other cause over which the supplier has no control.

(C)
Subparagraph (B) of this paragraph applies only if the supplier bases delivery
on ordering histories with priority given to the sequence in which the orders
are received.

(d)
Subsection (1)(d) of this section does not prohibit:

(A)
A supplier from using differentials resulting from the differing quantities in
which equipment is sold or delivered.

(B)
A retailer from offering a lower price in order to meet an equally low price of
a competitor or the services or facilities furnished by a competitor.

(e)
Subsection (1)(e) of this section applies only if:

(A)
The retailer meets the reasonable capital requirements imposed by the supplier;

(B)
The retailer agreed to the capital requirements; or

(C)
The change by the retailer does not result in a change of the controlling
interest in the executive management or board of directors, or of any
guarantors of the retailer.

(f)
If a supplier does not accept a sale, transfer or assignment, the supplier
shall provide written notice of the supplier’s objection and specific reasons
for withholding consent.

(g)
Notwithstanding subsection (1)(f) of this section, a retailer may not sell,
transfer or assign the retailer’s interest or power of management or control
without the written consent of the supplier.

(h)
Subsection (1)(j) of this section does not apply if the retailer and supplier
agreed to rights of succession.

(i)
Notwithstanding subsection (1)(f), (h), (i) and (j) of this section, a supplier
may withhold consent to a transfer of interest in a retailer if, with due
regard to regional market conditions and distribution economies, the retailer’s
area of responsibility or trade does not afford sufficient sales potential to
reasonably support a retailer. [Formerly 646.447]

646A.312
Termination, cancellation or failure to renew retailer agreement; notice; good
cause.
(1) As used in this section:

(a)
“Good cause” means a retailer’s:

(A)
Failing to comply with a term of a retail agreement that is the same as a term
in the supplier’s agreements with similarly situated retailers, including
failure to meet marketing criteria;

(B)
Transferring a controlling ownership interest in the retailer’s business
without the supplier’s consent;

(C)
Making a material misrepresentation or falsification of a record, contract,
report or other document that the retailer has submitted to the supplier;

(D)
Filing a voluntary petition in bankruptcy;

(E)
Being placed involuntarily in bankruptcy and not discharging the bankruptcy
within 60 days after the filing;

(F)
Becoming insolvent;

(G)
Being placed in a receivership;

(H)
Pleading guilty to, being convicted of or being imprisoned for a felony;

(I)
Failing to operate in the normal course of business for seven consecutive
business days or terminating business;

(J)
Relocating or establishing a new or additional place or places of business
without the supplier’s consent;

(K)
Failing to satisfy a payment obligation as it comes due and payable to the
supplier;

(L)
Failing to promptly account to the supplier for any proceeds of the sale of
farm implements or otherwise failing to hold the proceeds in trust for the
benefit of the supplier;

(M)
Consistently engaging in business practices that are detrimental to the
consumer or supplier, including, but not limited to, excessive pricing,
misleading advertising or failure to provide service and replacement parts or
to perform warranty obligations;

(N)
Inadequately representing the supplier, causing lack of performance in sales,
service or warranty areas, and failing to achieve satisfactory market
penetration at levels consistent with similarly situated retailers based on
available documented information;

(O)
Consistently failing to meet building and housekeeping requirements; or

(P)
Consistently failing to comply with the licensing laws that apply to the
supplier’s products and services.

(b)
“Similarly situated retailer” means a retailer:

(A)
In a similar geographic area;

(B)
With similar sales volumes; and

(C)
In a similar market for farm implements, machinery and repair parts.

(2)
With good cause, a supplier, directly or through an officer, agent or employee,
may terminate, cancel, fail to renew or substantially change the competitive
circumstances of a retailer agreement. The termination, cancellation,
nonrenewal or change becomes effective upon notice to the retailer. The notice
shall state the reasons constituting good cause for the termination,
cancellation, nonrenewal or change.

(3)(a)
Except as provided in subsection (2) of this section, a supplier shall give a
retailer 90 calendar days’ written notice of the supplier’s intent to
terminate, cancel or fail to renew a retailer agreement or change the
competitive circumstances of a retailer agreement.

(b)
The notice shall:

(A)
State the reasons for termination, cancellation, nonrenewal or change; and

(B)
Provide that the retailer has 60 calendar days in which to cure a claimed
deficiency.

(c)
If the retailer cures the deficiency within 60 calendar days, the notice is
void.

(d)
If the retailer fails to cure the deficiency within 60 calendar days, the
termination, cancellation, failure to renew or change in competitive
circumstances becomes effective on the date specified in the notice.

(4)(a)
Notwithstanding subsection (3) of this section, a supplier shall give a
retailer one year’s written notice of the retailer’s failure to meet reasonable
marketing criteria.

(b)
The notice shall:

(A)
State the reasonable marketing criteria that the retailer has failed to meet;
and

(B)
Provide the retailer one year in which to meet the criteria.

(c)(A)
If the retailer fails to meet the criteria within the year, the supplier may
give notice of the termination, cancellation, failure to renew the retail
agreement or change to the retail agreement.

(B)
A termination, cancellation, failure to renew or change under this paragraph is
effective 180 calendar days after the supplier gives notice. [Formerly 646.449]

646A.314
New or relocated dealership; notice; area of responsibility. (1) If a
supplier enters into an agreement to establish a new retailer or dealership or
to relocate a retailer or dealership, and the agreement assigns an area of
responsibility, the supplier must give written notice of the agreement by
certified mail to any retailer or dealership within an assigned area of
responsibility that is within or contiguous to the area of the new or relocated
retailer or dealership.

(2)
If a supplier enters into an agreement to establish a new retailer or
dealership or to relocate a retailer or dealership, and the agreement does not
assign an area of responsibility, the supplier must give written notice of the
agreement by certified mail to any retailer or dealership within a 75-mile
radius of the new or relocated retailer or dealership.

(3)
A notice required by this section shall contain:

(a)
The new location of the retailer or dealership;

(b)
The date that the retailer or dealership will commence business at the new
location; and

(c)(A)
If the agreement assigns an area of responsibility, the name and address of
retailers and dealerships with assigned areas of responsibility that are within
or contiguous to the area of the new or relocated retailer or dealership; or

(B)
If the agreement does not assign an area of responsibility, the name and
address of retailers and dealerships within a 75-mile radius of the new or
relocated retailer or dealership. [Formerly 646.452]

(1)
On a warranty claim, a supplier shall provide reasonable compensation for the
retailer’s costs, including but not limited to:

(a)
Diagnostic services;

(b)
Repair services;

(c)
Repair parts; and

(d)
Labor.

(2)
For labor on warranty service, a supplier may not pay a retailer an hourly rate
that is less than the rate that the retailer charges for nonwarranty service.

(3)
For repair parts on warranty service, a supplier may not pay a retailer less
than the amount that the retailer paid for the parts plus a reasonable
allowance for the shipping and handling of the parts.

(4)
A supplier must allow a reasonable time for a retailer to complete warranty
service. [Formerly 646.453; 2009 c.11 §82]

646A.318
Warranty claims; processing. (1) A supplier shall approve or
disapprove a warranty claim in writing within 30 calendar days of the supplier’s
receipt of the claim.

(2)
If a supplier does not approve or disapprove a warranty claim in writing within
30 calendar days of the supplier’s receipt of the claim, the supplier shall pay
the claim within 60 calendar days of receipt of the claim.

(3)
A supplier that approves a warranty claim shall pay the claim within 30 calendar
days of the claim’s approval.

(4)
A supplier that disapproves a warranty claim shall, in the writing required by
subsection (1) of this section, notify the retailer of the reasons for the
disapproval.

(5)
If a supplier disapproves a warranty claim because the retailer failed to
comply with procedures for submitting the claim prescribed by the retailer
agreement, the retailer may resubmit the claim within 30 calendar days of the
retailer’s receipt of the supplier’s disapproval.

(6)
A supplier may not disapprove a warranty claim as untimely if the claim covers
service or parts provided while a retailer agreement was in effect.

(7)(a)
For one year after payment of a warranty claim, the supplier may audit records
that support the claim.

(b)
A supplier may not audit a record that supports a claim more than one year
after paying the claim unless an audit has disclosed that the retailer
submitted a false claim.

(c)
A supplier may:

(A)
Adjust a claim paid in error;

(B)
Require a retailer to return payment made on a false claim; and

(C)
If the retailer owes an amount to the supplier, credit the amount of a claim to
the retailer’s account. [Formerly 646.454]

(1)
If a supplier requires a retailer to improve the safety of farm implements or
machinery, the supplier shall reimburse the retailer for the costs of parts,
labor and transportation that the retailer incurred to make the improvement.

(2)
If a supplier requires a retailer to improve farm implements or machinery for
reasons other than safety, the supplier shall reimburse the retailer for the
costs of parts and labor that the retailer incurred to make the improvement.

(3)
For labor to improve farm implements or machinery, a supplier may not pay a
retailer an hourly rate that is less than rate that the retailer charges for
like services.

(4)
For parts to improve farm implements or machinery, a supplier may not pay a
retailer less than the amount that the retailer paid for the parts plus a
reasonable allowance for the shipping and handling of the parts. [Formerly
646.456]

646A.322
Remedies; arbitration; cause of action; attorney fees; injunctive relief. (1)(a) Any
party to a retailer agreement aggrieved by the conduct of the other party to
the agreement under ORS 646A.310, 646A.312, 646A.314, 646A.316, 646A.318 or
646A.320 may seek arbitration of the issues under ORS 36.600 to 36.740. Unless
the parties agree to different arbitration rules, the arbitration shall be
conducted pursuant to the commercial arbitration rules of the American
Arbitration Association. If the parties agree, the arbitration shall be the
parties’ only remedy and the findings and conclusions of the arbitrator or
panel of arbitrators shall be binding upon both parties.

(2)
Notwithstanding subsection (1) of this section, any retailer has a civil cause
of action in circuit court against a supplier for damages sustained by the
retailer as a consequence of the supplier’s violation of ORS 646A.310,
646A.312, 646A.314, 646A.316, 646A.318 or 646A.320, together with:

(3)
A supplier bears the burden of proving that a retailer’s area of responsibility
or trade area does not afford sufficient sales potential to reasonably support
the retailer. The supplier’s proof must be in writing.

(4)
The remedies set forth in this section are not exclusive and are in addition to
any other remedies permitted by law, unless the parties have chosen binding
arbitration under subsection (1) of this section. [Formerly 646.459]

(Repurchase
of Motor Vehicles)

646A.325
Repurchase of motor vehicle by manufacturer; notice to dealer; contents of
notice; notice to prospective buyer. (1) The manufacturer of a motor vehicle
who repurchases the vehicle for any reason shall inform any vehicle dealer to
whom the manufacturer subsequently delivers the vehicle for resale that the
vehicle has been repurchased by the manufacturer. If the reason for the
repurchase was failure or inability to conform the vehicle to express warranties
under the provisions of ORS 646A.400 to 646A.418 or any similar law of another
jurisdiction, the manufacturer shall also inform the dealer of that fact.

(2)
A dealer who has been given information required by subsection (1) of this
section shall give the information, in writing, to any prospective buyer of the
vehicle.

(3)
An owner of a motor vehicle who has been given information as required by
subsection (1) or (2) of this section shall give the information, in writing,
to any prospective buyer of the vehicle.

(4)
As used in this section and ORS 646A.327, “motor vehicle” has the meaning given
in ORS 646A.400. [Formerly 646.874]

646A.327
Attorney fees for action under ORS 646A.325. The court may award reasonable
attorney fees to the prevailing party in an action against a person who has a
duty to disclose information under ORS 646A.325. [Formerly 646.876]

MAILINGS
AND DELIVERIES

(Mail
Agents)

646A.340
Definitions for ORS 646A.340 to 646A.348. As used in ORS 646A.340 to
646A.348:

(1)
“Mail agent” means any person, sole proprietorship, partnership, corporation or
other entity who owns, manages, rents or operates one or more mailboxes, as
defined in this section, for receipt of United States mail or materials
received from or delivered by a private express carrier, for any person, sole
proprietorship, partnership, corporation or other entity not the mail agent.

(2)
“Mailbox” means any physical location or receptacle where United States mail or
materials received from or delivered by a private express carrier are received,
stored or sorted, including letter boxes.

(3)
“Tenant” means any person, sole proprietorship, partnership, corporation or
other entity who contracts with or otherwise causes a mail agent to receive,
store, sort, hold or forward any United States mail or materials received from
or delivered by any private express carrier on the tenant’s behalf. [Formerly
646.221]

646A.342
Prohibited conduct; required verifications and notice. (1) A mail
agent shall not contract with a tenant to receive United States mail or
materials received from or delivered by a private express carrier on the tenant’s
behalf if the mail agent knows or should know that the tenant has provided a false
name, title or address to the mail agent.

(2)
Prior to contracting with a tenant to receive United States mail or materials
received from or delivered by a private express carrier on the tenant’s behalf,
the mail agent shall independently verify:

(a)
The identity of the tenant.

(b)
The residence address of the tenant if the tenant is an individual or the
business address of the tenant if the tenant is a business entity.

(c)
In the case of a corporation, that the corporation is authorized to do business
in this state.

(d)
In the case of an entity using an assumed business name, that the name has been
registered for use in the State of Oregon.

(3)
The mail agent shall accept mail or materials received from or delivered by a
private express carrier on behalf of the tenant only if the mail is, or the
materials received from or delivered by a private express carrier are addressed
to the tenant. The mail agent shall not deposit United States mail or materials
received from or delivered by a private express carrier in any mailbox unless
the addressee has rented a mailbox from the mail agent.

(4)
Whenever a mail agent has reason to believe that a tenant is using a mailbox to
escape identification, the mail agent shall immediately notify the Attorney
General and the United States Postal Inspector. [Formerly 646.225]

646A.344
Bond or letter of credit; action; exceptions. (1) Except as provided in
subsection (5) of this section, a mail agent shall maintain:

(a)
A surety bond in the sum of $10,000 executed by the mail agent as obligor,
together with a surety company authorized to do business in this state as
surety; or

(b)
An irrevocable letter of credit issued by an insured institution as defined in
ORS 706.008 in the amount of $10,000.

(2)
The bond or letter of credit must:

(a)
Be executed to the State of Oregon and for the use of the state and of any
person who may have a cause of action against the obligor of the bond or the
letter of credit for a violation of ORS 646A.342 or for damages under ORS 646A.346.

(b)
Provide that the obligor will comply with ORS 646A.342 and will pay to the
state and to any person the moneys that may become due or owing to the state or
to the person from the obligor for a violation of ORS 646A.342.

(3)
The Attorney General shall approve the form of the bond or letter of credit.

(4)
If a person recovers a judgment against a mail agent for a violation of ORS
646A.342 and execution issued upon the judgment is returned unsatisfied in
whole or in part, the person may maintain an action upon the bond or letter of
credit.

(5)
Subsection (1) of this section does not apply to a mail agent whose activity as
a mail agent consists solely of receiving, storing, sorting, holding or
forwarding United States mail or materials received from or delivered by a
private express carrier for tenants of the mail agent if:

(a)
The tenant is also renting or leasing from the mail agent an office, store,
residential unit or other space or unit intended for human occupancy, and the
space or unit is located on the same premises as the mailbox; and

(b)
The mail agent services that the mail agent is providing to the tenant are
incidental to and a part of the landlord-tenant relationship that exists
between the mail agent and the tenant with respect to the leased space or unit.
[Formerly 646.229]

646A.346
Damages.
Upon proof by a preponderance of evidence that a mail agent has failed to
satisfy any of the mail agent’s duties set forth in ORS 646A.342, the mail
agent shall be liable for actual damages caused to any person who sent United
States mail or materials received from or delivered by a private express
carrier addressed to a fictitious person at any tenant’s mailbox and who is
damaged because the person who sent the United States mail or materials received
from or delivered by a private express carrier is unable to identify the
tenant. A mail agent’s liability under this section shall not exceed $1,000 per
occurrence. [Formerly 646.235]

646A.348
Action by Attorney General; civil penalty; injunction; damages; attorney fees
and costs.
(1) The Attorney General may bring an action in the name of the state against
any mail agent for violation of ORS 646A.342 or 646A.344. Upon proof by a
preponderance of the evidence of a violation of ORS 646A.342 or 646A.344, a
mail agent shall forfeit and pay a civil penalty of not more than $1,000 for an
initial violation. For a second or subsequent violation, the mail agent shall
forfeit and pay a civil penalty of not more than $5,000 for each violation.

(2)
The Attorney General may bring an action in the name of the state against any
mail agent or other person or entity to restrain or prevent any violation of
ORS 646A.342 or 646A.344.

(3)
The Attorney General may bring an action on behalf of a person to obtain the damages
caused to the person by a mail agent’s violation of ORS 646A.342 or 646A.344.

(4)
The court may award reasonable attorney fees and costs of investigation,
preparation and litigation to the Attorney General if the Attorney General
prevails in an action under this section. The court may award reasonable
attorney fees and costs of investigation, preparation and litigation to a
defendant who prevails in an action under this section if the court determines
that the Attorney General had no objectively reasonable basis for asserting the
claim or no reasonable basis for appealing an adverse decision of the trial
court. [Formerly 646.240]

(Delivery
of Hazardous Materials)

646A.350
Delivery of unrequested hazardous substances prohibited. No person shall
deliver, or cause to be delivered, any hazardous substance, as defined in ORS
453.005 (7), to any residential premises without the prior consent of any
occupant of such premises. [Formerly 646.870]

646A.352
Penalty.
Violation of ORS 646A.350 is a Class A misdemeanor. [Formerly 646.992]

(Other
Mailings or Deliveries)

646A.360
Unsolicited facsimile machine transmissions. (1) If a person receives on a
facsimile machine any unsolicited and unwanted advertising material for the
sale of any realty, goods or services, the person may give the sender of such
material written notice to discontinue further such transmissions. No person
who has received such a discontinuance notice shall use a facsimile machine to
transmit unsolicited advertising material for the sale of realty, goods or
services to the person who gave the discontinuance notice for a period of one
calendar year from the date the notice was given.

(2)
As used in this section, “facsimile machine” means a machine that
electronically transmits or receives facsimiles of documents through connection
with a telephone network. [Formerly 646.872]

646A.362
Exclusion of name from sweepstakes promotion mailing list; written request;
rules.
(1) As used in this section:

(a)
“Exclusion request” means a written request to be excluded from a sweepstakes
promotion mailing list or to be placed on a list of persons to whom sweepstakes
promotions may not be mailed.

(b)
“Sweepstakes promotion” has the meaning given that term in ORS 124.005.

(2)
Any person who receives a sweepstakes promotion, or a combination of
sweepstakes promotions from the same service, in the United States mail,
regardless of the identities of the originators of the sweepstakes promotion,
may send a written exclusion request to the originator of any sweepstakes
promotion.

(3)
The exclusion request shall be mailed to the address to which the recipient
would have sent a payment for any goods or services promoted in the sweepstakes
promotion had the recipient ordered the goods or services instead of mailing an
exclusion request.

(4)
An originator of a sweepstakes promotion who receives an exclusion request
shall exclude the requestor’s name from the originator’s sweepstakes promotion
mailing list or shall place the requestor’s name on a list of persons to whom
sweepstakes promotions may not be mailed.

(5)
The Attorney General shall adopt rules necessary to implement this section.

(6)
It is an affirmative defense to a claim or charge of violating subsection (4)
of this section that the originator of the sweepstakes promotion had, at the
time of the violation, implemented reasonable practices or procedures for
preventing a violation. [Formerly 646.879]

646A.365
Check, draft or payment instrument creating obligation for payment. A person may
not mail or cause to be sent a check, draft or other payment instrument that,
when deposited or cashed, obligates the depositor or payee thereafter to make
any payment. This section does not apply to an extension of credit or an offer
to lend money. [2007 c.304 §1]

AUTOMATIC
DIALING AND ANNOUNCING DEVICES

646A.370
Definitions for ORS 646A.370 to 646A.374. As used in ORS 646A.370 to
646A.374:

(1)
“Automatic dialing and announcing device” means an automated device that
selects and dials telephone numbers and that, working alone or in conjunction
with another device, disseminates a prerecorded or synthesized voice message to
the telephone number called.

(2)
“Call” means an attempt made to contact or a contact made with a subscriber by
means of a telephone or telephone line.

(3)
“Caller” means a person that attempts to contact or that contacts a subscriber
by using a telephone or telephone line.

(4)
“Caller identification service” means a telephone service that permits
subscribers to see a caller’s telephone number before answering the telephone.

(5)
“Established business relationship” means a previous transaction or series of
transactions between a caller and a subscriber that occurred within the 18
months preceding a call.

(6)
“Subscriber” means an individual who has obtained residential or wireless
telephone services from a telecommunications provider, or a person who resides
with the individual. [2007 c.823 §1]

646A.372
Limits on usage of automatic dialing and announcing device. (1) A caller
may not use an automatic dialing and announcing device in order to call a
subscriber unless the device is designed and operated so as to disconnect
within 10 seconds after the subscriber terminates the call.

(2)
A caller may not use an automatic dialing and announcing device that dials
telephone numbers randomly or sequentially unless the range of telephone
numbers from which the device chooses the number to dial does not include
numbers for:

(c)
Is a representative of a public safety or law enforcement agency; or

(d)
Is a representative of a school district or school if the subscriber is an
employee of the school district, a student or the student’s parent, guardian or
other family member.

(4)
A caller who uses an automatic dialing and announcing device may use the device
to call a subscriber only between the hours of 9 a.m. and 9 p.m. [2007 c.823 §2]

646A.374
Prohibited actions.
(1) A caller who uses an automatic dialing and announcing device in order to
call a subscriber may not misrepresent or falsify, either in speaking with the
subscriber or in the prerecorded or synthesized voice message disseminated
during the call:

(a)
The caller’s identity and the identity of any person on behalf of whom the
caller is making the call;

(b)
The telephone number from which the caller is making the call;

(c)
The location from which the caller is making the call; or

(d)
The purpose for which the caller is making the call.

(2)
A caller may not intentionally alter, misrepresent or falsify the information
that a caller identification service would ordinarily provide to a subscriber
who uses such a service.

(3)
A person who provides a caller identification service is not subject to civil
liability for a caller’s violation of this section. [2007 c.823 §3]

646A.376
Enforcement; civil penalty. Violation of ORS 646A.372 or 646A.374 is an
unlawful trade practice subject to enforcement under ORS 646.632.
Notwithstanding the provisions of ORS 646.642, a civil penalty imposed for a
violation of ORS 646A.372 or 646A.374 may not exceed $5,000. [2007 c.823 §4]

WARRANTY
REGULATION AND ENFORCEMENT

(Enforcement
of Express Warranties on New Motor Vehicles)

646A.400
Definitions for ORS 646A.400 to 646A.418. As used in ORS 646A.400 to
646A.418:

(1)
“Collateral charge” means a charge, fee or cost to the consumer related to the
sale or lease of a motor vehicle, such as:

(a)
A sales, property or use tax;

(b)
A license, registration or title fee;

(c)
A finance charge;

(d)
A prepayment penalty;

(e)
A charge for undercoating, rust-proofing or factory or dealer installed
options; and

(f)
The cost of an aftermarket item purchased within 20 days after delivery of the
motor vehicle.

(2)
“Consumer” means:

(a)
The purchaser or lessee, other than for purposes of resale, of a new motor
vehicle normally used for personal, family or household purposes;

(b)
Any person to whom a new motor vehicle used for personal, family or household
purposes is transferred for the same purposes during the duration of an express
warranty applicable to such motor vehicle; and

(c)
Any other person entitled by the terms of such warranty to enforce the
obligations of the warranty.

(3)(a)
“Motor home” means a motor vehicle that is a new or demonstrator vehicular unit
built on, or permanently attached to, a self-propelled motor vehicle chassis,
chassis cab or van that becomes an integral part of the completed vehicle, and
that is designed to provide temporary living quarters for recreational, camping
or travel use.

(b)
“Motor home” does not include a trailer, camper, van or vehicle manufactured by
an entity that primarily manufactures motor vehicles other than motor homes as
defined in this subsection.

(c)
“Motor home” does not include “living facility components,” which means those
items designed, used or maintained primarily for the living quarters portion of
the motor home, including but not limited to the flooring, plumbing fixtures,
appliances, water heater, fabrics, door and furniture hardware, lighting
fixtures, generators, roof heating and air conditioning units, cabinets,
countertops, furniture and audio-visual equipment.

(4)
“Motor vehicle” means a passenger motor vehicle as defined in ORS 801.360 that
is purchased in this state or is purchased outside this state but registered in
this state. [Formerly 646.315; 2009 c.448 §1]

646A.402
Availability of remedy. The remedy under the provisions of ORS 646A.400 to
646A.418 is available to a consumer if:

(1)
A new motor vehicle does not conform to applicable manufacturer’s express
warranties;

(2)
The consumer reports each nonconformity to the manufacturer, the manufacturer’s
agent or the manufacturer’s authorized dealer, for the purpose of repair or
correction, during the two-year period following the date of original delivery
of the motor vehicle to the consumer or during the period ending on the date on
which the mileage on the motor vehicle reaches 24,000 miles, whichever period
ends first; and

(3)
The manufacturer has received direct written notification from or on behalf of
the consumer and has had an opportunity to correct the alleged defect. “Notification”
under this subsection includes, but is not limited to, a request by the
consumer for an informal dispute settlement procedure under ORS 646A.408. [Formerly
646.325; 2009 c.448 §2]

646A.404
Consumer’s remedies; manufacturer’s affirmative defenses. (1) If the
manufacturer or agents or authorized dealers of the manufacturer are unable to
conform the motor vehicle to an applicable manufacturer’s express warranty by
repairing or correcting a defect or condition that substantially impairs the
use, market value or safety of the motor vehicle to the consumer after a
reasonable number of attempts, the manufacturer shall:

(a)
Replace the motor vehicle with a new motor vehicle; or

(b)
Accept return of the vehicle from the consumer and refund to the consumer the
full purchase or lease price and collateral charges paid, less a reasonable
allowance for the consumer’s use of the motor vehicle. In lieu of refunding, as
part of the collateral charges paid, the cost of an aftermarket item purchased
within 20 days after delivery of the motor vehicle, the manufacturer may remove
the aftermarket item from the motor vehicle, if the aftermarket item can be
removed from the motor vehicle without damage, and return the aftermarket item
to the consumer.

(2)
Refunds must be made to the consumer and lienholder, if any, as the interests
of the consumer and lienholder may appear.

(3)(a)
As used in this section, “reasonable allowance for the consumer’s use of the
motor vehicle” means:

(A)
For a motor vehicle that is not a motorcycle or a motor home, an amount of
money equivalent to the motor vehicle mileage as described in paragraph (b) of
this subsection, multiplied by the combined amount of the cash price or lease
price of the motor vehicle and the amount of any collateral charges paid by the
consumer, and divided by 120,000.

(B)
For a motorcycle, an amount of money equivalent to the motor vehicle mileage as
described in paragraph (b) of this subsection, multiplied by the combined
amount of the cash price or lease price of the motorcycle and the amount of any
collateral charges paid by the consumer, and divided by 25,000.

(C)
For a motor home, an amount of money equivalent to the motor vehicle mileage as
described in paragraph (b) of this subsection, multiplied by the combined
amount of the cash price or lease price of the motor home and the amount of any
collateral charges paid by the consumer, and divided by 90,000.

(b)
The motor vehicle mileage for the purposes of the calculation described in
paragraph (a) of this subsection is the motor vehicle’s mileage at the time the
manufacturer takes an action described in subsection (1) of this section, less
10 miles for mileage that the motor vehicle traveled during any period in which
the consumer did not have use of the motor vehicle because the manufacturer or
an agent or authorized dealer of the manufacturer was repairing the motor
vehicle.

(4)
It is an affirmative defense to a claim under ORS 646A.400 to 646A.418 that:

(a)
An alleged nonconformity does not substantially impair such use, market value
or safety; or

(b)
A nonconformity is the result of abuse, neglect or unauthorized modifications
or alterations of the motor vehicle. [Formerly 646.335; 2009 c.448 §3]

646A.405
Manufacturer action under ORS 646A.404; request to Department of
Transportation; notice to buyer; unlawful practice; rules. (1) A
manufacturer that takes an action with respect to a motor vehicle under ORS
646A.404 (1)(a) or (b) shall request the Department of Transportation to:

(a)
Title the motor vehicle in the manufacturer’s name; and

(b)
Inscribe on the certificate of title for the motor vehicle and in the
department’s records concerning the motor vehicle the notation “Lemon Law Buyback.”

(2)
A person that acquires a motor vehicle in order to sell, lease or otherwise
transfer the motor vehicle and that knows or should have known that the
manufacturer took an action with respect to the motor vehicle under ORS
646A.404 (1)(a) or (b) or that the certificate of title for the motor vehicle
is inscribed with the notation specified in subsection (1) of this section,
before selling, leasing or otherwise transferring the motor vehicle shall:

(a)
Provide the buyer, lessee or transferee with a notice that states:

This
vehicle was repurchased by its manufacturer in accordance with Oregon’s
consumer warranty law because of a defect in the vehicle. The title to this vehicle
has been permanently inscribed with the notation “Lemon Law Buyback.”

(b)
Obtain the signature of the buyer, lessee or transferee on the notice in a
space provided for that purpose under a statement in which the buyer, lessee or
transferee acknowledges receiving and understanding the notice.

(3)
Failure to comply with the requirements of subsection (1) or (2) of this
section is an unlawful practice under ORS 646.608 and a person that fails to
comply with the requirements is subject to the causes of action and remedies
provided in ORS 646.632 and 646.638.

(4)
The Director of Transportation may adopt rules to prescribe the form and
content of the notice required under this section and to require the disclosure
of other information the director deems necessary to inform a buyer, lessee or
transferee of the condition of a motor vehicle that is subject to the
provisions of this section or information that is otherwise material to a sale,
lease or transfer of the motor vehicle. [2009 c.448 §10]

646A.406
Presumption of reasonable attempt to conform; extension of time for repairs;
notice to manufacturer. (1) It is presumed that a reasonable number of
attempts have been undertaken to conform a motor vehicle to the applicable
manufacturer’s express warranties if, during the two-year period following the
date of original delivery of the motor vehicle to a consumer or during the
period ending on the date on which the mileage on the motor vehicle reaches
24,000 miles, whichever period ends first:

(a)
The manufacturer or an agent or authorized dealer of the manufacturer has
subjected the nonconformity to repair or correction three or more times and has
had an opportunity to cure the defect alleged, but the nonconformity continues
to exist;

(b)
The motor vehicle is out of service by reason of repair or correction for a
cumulative total of 30 or more calendar days or 60 or more calendar days if the
vehicle is a motor home; or

(c)
The manufacturer or an agent or authorized dealer of the manufacturer has
subjected a nonconformity that is likely to cause death or serious bodily
injury to repair or correction at least one time and has made a final attempt
to repair or correct the nonconformity, but the nonconformity continues to
exist.

(2)
A repair or correction for purposes of subsection (1) of this section includes
a repair that must take place after the expiration of the earlier of either
period.

(3)
The period ending on the date on which the mileage on the motor vehicle reaches
24,000 miles, the two-year period and the 30-day period shall be extended by
any period of time during which repair services are not available to the
consumer because of a war, invasion, strike, fire, flood or other natural
disaster.

(4)
The presumption described in subsection (1) of this section does not apply
against a manufacturer unless the manufacturer has received prior direct
written notification from or on behalf of the consumer and has had an
opportunity to cure the defect alleged. [Formerly 646.345; 2009 c.448 §4]

646A.408
Use of informal dispute settlement procedure as condition for remedy; binding
effect on manufacturer. If a manufacturer, for the purpose of settling
disputes that arise under ORS 646A.400 to 646A.418, establishes or participates
in an informal dispute settlement procedure that substantially complies with
the provisions of 16 C.F.R. part 703, as in effect on June 23, 2009, and causes
a consumer to be notified of the procedure, ORS 646A.404 does not apply to a
consumer who has not first resorted to the procedure. A decision resulting from
arbitration pursuant to the informal dispute settlement procedure is binding on
the manufacturer but is not binding on the consumer. [Formerly 646.355; 2009
c.448 §5]

646A.410
Informal dispute settlement procedure; recordkeeping; review by Department of
Justice.
A manufacturer which has established or participates in an informal dispute
settlement procedure shall keep records of all cases submitted to the procedure
under ORS 646A.408 and shall make the records available to the Department of
Justice if the department requests them. The department may review all case
records kept under this section to determine whether or not the arbitrators are
complying with the provisions of ORS 646A.400 to 646A.418 in reaching their
decisions. [Formerly 646.357]

646A.412
Action in court; damages if manufacturer does not act in good faith; attorney
fees; expert witness fees; costs. (1) If a consumer brings an action in
court under ORS 646A.400 to 646A.418 against a manufacturer and the consumer is
granted one of the remedies specified in ORS 646A.404 (1) by the court, the
consumer shall also be awarded up to three times the amount of any damages, not
to exceed $50,000 over and above the amount due the consumer under ORS 646A.404
(1), if the court finds that the manufacturer did not act in good faith.

(2)
Except as provided in subsection (3) of this section, the court may award
reasonable attorney fees, fees for expert witnesses and costs to a consumer who
prevails in an appeal or action under ORS 646A.400 to 646A.418. If a court
finds that a consumer brought an action under ORS 646A.400 to 646A.418 in bad
faith or solely for the purposes of harassment, the court may award a
prevailing manufacturer reasonable attorney fees.

(3)
The court may award reasonable attorney fees, fees for expert witnesses and
costs to the prevailing party in an appeal or action under ORS 646A.400 to
646A.418 that involves a motor home. [Formerly 646.359; 2009 c.448 §6]

646A.414
Limitations on actions against dealers. (1) Except as provided in ORS 646A.405,
nothing in ORS 646A.400 to 646A.418 creates a cause of action by a consumer
against a vehicle dealer.

(2)
A manufacturer may not join a dealer as a party in a proceeding brought under
ORS 646A.400 to 646A.418, nor may the manufacturer try to collect from a dealer
damages assessed against the manufacturer in a proceeding brought under ORS
646A.400 to 646A.418. [Formerly 646.361; 2009 c.448 §7]

646A.416
Limitation on commencement of action. An action brought under ORS 646A.400 to
646A.418 must be commenced within one year after whichever of the following
periods ends earlier:

(1)
The period ending on the date on which the mileage on the motor vehicle reaches
24,000 miles;

(2)
The two-year period following the date of the original delivery of the motor
vehicle to the consumer; or

(3)
The period that ends after an extension of time provided under ORS 646A.406
(3). [Formerly 646.365; 2009 c.448 §8]

646A.418
Remedies supplementary to existing statutory or common law remedies; election
of remedies.
Nothing in ORS 646A.400 to 646A.418 is intended in any way to limit the rights
or remedies that are otherwise available to a consumer under any other law.
However, if the consumer elects to pursue any other remedy in state or federal
court, the remedy available under ORS 646A.400 to 646A.418 shall not be
available insofar as it would result in recovery in excess of the recovery
authorized by ORS 646A.404 without proof of fault resulting in damages in
excess of such recovery. [Formerly 646.375]

(Vehicle
Protection Product Warranties)

646A.430
Definitions for ORS 646A.430 to 646A.450. As used in ORS 646A.430 to
646A.450:

(1)
“Consumer” means a person in this state who purchases a vehicle protection
product or who possesses a vehicle protection product and is entitled to
enforce a warranty for the product by reason of the person’s possession.

(4)
“Seller” means a person engaged in the business of offering a vehicle
protection product for sale to a consumer.

(5)(a)
“Vehicle protection product” means:

(A)
A protective chemical, substance, device, product or system that is:

(i)
Designed to prevent loss or damage to a vehicle from a specific cause; and

(ii)
Accompanied by a written warranty that provides that if the vehicle protection
product fails to prevent a specified loss or damage, the warrantor will
reimburse a consumer for specified related and incidental costs the consumer
incurs as a result of the vehicle protection product’s failure to perform in
accordance with the terms of the vehicle protection product warranty, if the
consumer purchases a physical product that is designed or formulated to make
the specified related and incidental costs less likely to occur;

(B)
An alarm system;

(C)
A product to mark motor vehicle body parts;

(D)
A lock for a motor vehicle steering wheel, pedal or ignition;

(E)
A product to etch motor vehicle windows;

(F)
A kill switch for motor vehicle ignitions or fuel systems;

(G)
A tracking system that uses satellites, radio or electronic means; or

(H)
Other similar or related chemicals, substances, devices, products, systems or
services that are designed to prevent loss or damage to a motor vehicle from a
specific cause.

(b)
“Vehicle protection product” does not include:

(A)
A fuel or oil additive; or

(B)
Other chemical products that are applied to a motor vehicle’s engine,
transmission or fuel system.

(6)(a)
“Warrantor” means a person that a vehicle protection product warranty names as
the contractual obligor to the consumer.

(a)
Accompany vehicle protection products delivered to consumers in this state; and

(b)
Require the warrantor, to the extent set forth in the warranty, to pay to the
consumer expenses related to the loss of or damage to the vehicle.

(2)
A vehicle protection product warranty subject to ORS 646A.430 to 646A.450 is
not a service contract and is not subject to the provisions of ORS 646A.150 to
646A.172. A seller’s or warrantor’s selling or providing a warranty for a
vehicle protection product in compliance with ORS 646A.430 to 646A.450 does not
subject the seller or warrantor to ORS 646A.150 to 646A.172.

(3)
A vehicle protection product warranty subject to ORS 646A.430 to 646A.450 is
not insurance and is not subject to the provisions of the Insurance Code. A
seller’s or warrantor’s selling or providing a warranty for a vehicle
protection product in compliance with ORS 646A.430 to 646A.450 does not subject
the seller or warrantor to the Insurance Code. [2007 c.685 §2]

646A.434
Sale of vehicle protection product; conditions and requirements. (1) A person
may not offer for sale or sell a vehicle protection product that includes a
vehicle protection product warranty unless, at the time of the sale, the seller
or a warrantor provides to the consumer:

(a)
A copy of the vehicle protection product warranty for the vehicle protection
product; or

(b)
A receipt for, or other written evidence of, the consumer’s purchase of the
vehicle protection product.

(2)
A warrantor who complies with subsection (1)(b) of this section shall provide
to the consumer a copy of the vehicle protection product warranty within 30
days after the date of purchase.

(3)
The vehicle protection product warranty must:

(a)
Be written and printed or typed;

(b)
List, either preprinted on the warranty document or, if negotiated at the time
of sale, in an addition to the warranty document, the purchase price and terms
of sale for the vehicle protection product;

(c)
List the name, address, phone number and other available contact information
for the warrantor;

(d)
List, either preprinted on the warranty document or in an addition to the
warranty document at the time of sale, the name of and contact information for
the administrator for the vehicle protection product warranty, if any, the name
of the seller and the name of the consumer, if the consumer has provided the
consumer’s name to the warrantor;

(e)
Specify the nature or contents of the vehicle protection product or the
services included with the product and any limitations, exceptions or
exclusions;

(f)
Describe the procedure for making a claim under the warranty and provide an
address and telephone number for submitting claims;

(g)
Specify any restrictions governing the transferability or cancellation of the
vehicle protection product warranty;

(h)
Disclose the items for which the warrantor will pay incidental expenses, along
with any formula the warrantor uses to calculate the expenses, or provide for a
fixed sum for payment of incidental expenses;

(i)
State the consumer’s duties, including any duty to protect against further
damage to the vehicle and any requirement to follow the warranty’s
instructions;

(j)
State that a reimbursement insurance policy guarantees the obligations to the
consumer set forth in the warranty;

(k)
List the name and address and other available contact information for the
reimbursement insurer and state that if the warrantor does not provide a covered
service within 60 days after the date the consumer provides proof of loss or
damage, the consumer may apply directly to the reimbursement insurer for
reimbursement;

(L)
List the name, mailing address and telephone number for the Department of
Consumer and Business Services and state that the consumer may address
unresolved complaints concerning a warrantor or questions concerning the
regulation of a warrantor to the department; and

(m)
State that the vehicle protection product warranty is a product warranty and
not insurance. [2007 c.685 §3]

646A.436
Warrantor registration; requirements; expiration; fees; rules. (1) A person
may not conduct business as a warrantor in this state or make a representation
that the person is a warrantor in this state unless the person registers in
writing with the Director of the Department of Consumer and Business Services
in a form the director prescribes by rule. For purposes of this section, a
person who offers for sale or sells a vehicle protection product but does not
offer a warranty with the product or is not contractually obligated to any
performance under the terms and conditions of a warranty that accompanies the
product is not a warrantor subject to this section.

(2)
A registration form submitted to the director under this section shall contain
the following information:

(a)
The warrantor’s name and telephone number and the address of the warrantor’s
principal office;

(b)
The name, address and telephone number of the warrantor’s agent for the service
of process in this state if the agent is not the warrantor;

(c)
The identities of the warrantor’s executive officer and officers directly
responsible for the warrantor’s business operations related to vehicle
protection product warranties;

(d)
The name, address and telephone number of any person the warrantor designates
to administer the warrantor’s vehicle protection product warranties in this
state;

(e)
A copy of each warranty form the warrantor proposes to use in this state; and

(f)
A copy of a warranty reimbursement insurance policy the warrantor intends to
use to demonstrate the warrantor’s financial responsibility in accordance with
ORS 646A.438.

(3)
A warrantor shall report any changes to the information provided in this
section to the director not later than 30 days after the information has
changed.

(4)
A registration under this section expires on December 31 of each year. The
director by rule shall prescribe a procedure for renewing a registration under
this section.

(5)
A warrantor shall pay a fee in an amount the director sets by rule for each
registration or renewal under this section. The fee must be in an amount that,
when aggregated with all other fees collected under this section, is sufficient
to pay the expenses of administering and enforcing ORS 646A.430 to 646A.450. [2007
c.685 §4]

(a)
An insurer authorized to transact insurance in this state under a certificate
of authority issued in accordance with the Insurance Code; or

(b)
A surplus lines insurer.

(2)
The Department of Consumer and Business Services may not require any other
financial security requirements or financial standards for warrantors. [2007
c.685 §5]

646A.440
Required provisions of reimbursement insurance policy; cancellation; notice. (1) A
reimbursement insurance policy for a warranty issued in accordance with ORS
646A.430 to 646A.450 shall have the following provisions:

(a)
The reimbursement insurer that issues the policy will reimburse or pay on
behalf of the warrantor any amounts the warrantor is legally obligated to pay
or will provide any service that the warrantor is legally obligated to perform
under the vehicle protection product warranty.

(b)
If the warrantor does not pay or provide to the consumer the amounts or the
service for which the warrantor is legally obligated within 60 days after the
date the consumer provides proof of loss or damage, the reimbursement insurer
will pay the amount or provide the service directly to or on behalf of the consumer.

(c)
A reimbursement insurer may not defend against a consumer’s claim for payment
of an amount or performance of a service described in paragraph (a) of this
subsection on the basis that the consumer did not pay the premium for the
reimbursement insurance policy. For the purposes of any claim a consumer makes
under the policy, the consumer’s payment for the vehicle protection product
shall constitute payment of the premium for the reimbursement insurance policy.

(d)
The warrantor to whom a reimbursement insurer issued a reimbursement insurance
policy is an agent or representative of the reimbursement insurer for the
purpose of obligating the reimbursement insurer to the consumer under the terms
and conditions of the reimbursement insurance policy.

(2)
A reimbursement insurer may not cancel a reimbursement insurance policy until
the insurer delivers to the warrantor and the Director of the Department of
Consumer and Business Services a written notice of cancellation.

(3)
A reimbursement insurer that cancels a reimbursement insurance policy does not
reduce the reimbursement insurer’s responsibility for vehicle protection
products that the warrantor issued and insured under the policy before the
cancellation date.

(4)
A warrantor that receives a cancellation notice for a reimbursement insurance
policy shall:

(a)
Obtain new reimbursement insurance from a reimbursement insurer qualified in
accordance with ORS 646A.438 and file proof with the Director of the Department
of Consumer and Business Services that the warrantor has obtained new
insurance; or

(b)
Discontinue offering vehicle protection product warranties as of the date of
cancellation and until the warrantor obtains new reimbursement insurance from a
reimbursement insurer qualified in accordance with ORS 646A.438. [2007 c.685 §6]

646A.442
Vehicle protection product warranty administrator. A warrantor may
designate a person as an administrator for the warrantor’s vehicle protection
product warranties under ORS 646A.430 to 646A.450. [2007 c.685 §7]

646A.444
Recordkeeping requirements for warrantor; record retention. (1) A warrantor
shall maintain accurate accounts, books and other records for transactions
regulated under ORS 646A.430 to 646A.450 and shall make the records available
to the Director of the Department of Consumer and Business Services for
inspection during normal business hours. The warrantor’s records shall include:

(a)
A copy of the warranty for each unique form of vehicle protection product sold;

(b)
The name and address of each consumer;

(c)
A list of the locations where the warrantor’s vehicle protection products are
offered for sale or sold; and

(d)
Dates, descriptions, amounts and receipts for payments to consumers for claims
related to the vehicle protection product warranty or any expenditures related
to providing the vehicle protection product warranty.

(2)
Except as provided in subsection (4) of this section, a warrantor shall retain
all records required under subsection (1) of this section for at least two years
after the period of coverage specified in the vehicle protection product
warranty has expired.

(3)
A warrantor may maintain records required under this section in an electronic
form. If the warrantor maintains a record in a format other than paper, the
warrantor shall reformat the record into a legible paper copy at the director’s
request.

(4)
A warrantor that no longer conducts business in this state shall maintain the
warrantor’s records until 10 years after the date of the last sale of a vehicle
protection product that includes the warrantor’s warranty. [2007 c.685 §8]

646A.446
Prohibited conduct for warrantor. (1) A warrantor may not use in the
warrantor’s name:

(a)
“Casualty,” “surety,” “insurance,” “mutual” or any other word descriptive of
the casualty, insurance or surety business; or

(b)
A name deceptively similar to the name or description of any insurance company,
surety corporation or other warrantor.

(2)
A warrantor may use the word “guaranty” or a similar word in the warrantor’s
name. [2007 c.685 §9]

646A.448
Prohibited activities. (1) A warrantor or a warrantor’s representative, in
the warrantor’s vehicle protection product warranty or in an advertisement or
literature for the warranty, may not:

(a)
Make, permit or cause to be made any false or misleading statement; or

(b)
Intentionally omit a material statement that would be considered misleading if
omitted.

(2)
A seller or warrantor may not require, as a condition of financing, that a
retail purchaser of a motor vehicle purchase a vehicle protection product. [2007
c.685 §10]

646A.450
Rules; investigative powers of department. (1) The Director of the
Department of Consumer and Business Services may adopt rules to implement and
enforce ORS 646A.430 to 646A.450.

(2)
The director may investigate warrantors or other persons as reasonably
necessary to enforce ORS 646A.430 to 646A.450 and to protect consumers in this
state. [2007 c.685 §11]

646A.452
Enforcement by Attorney General. The Attorney General may enforce
violations of ORS 646A.430 to 646A.450 under ORS 646.608. [2007 c.685 §12]

(Warranties
on Assistive Devices)

646A.460
Definitions for ORS 646A.460 to 646A.476. As used in ORS 646A.460 to
646A.476:

(1)
“Assistive device” or “device” means:

(a)
Wheelchairs and scooters of any kind, including other aids that enhance the
mobility or positioning of an individual using a wheelchair or scooter of any
kind, such as motorization, motorized positioning features and the switches and
controls for any motorized features; and

(b)
Hearing aids as defined in ORS 694.015.

(2)
“Assistive device system” means a system of assistive devices. An “assistive
device system” may be a single assistive device, or each component part of the
assistive device system may be considered a separate assistive device.

(3)
“Authorized dealer” means a dealer authorized by a manufacturer to sell or
lease assistive devices manufactured or assembled by the manufacturer.

(4)
“Collateral costs” means expenses incurred by a consumer in connection with the
repair of a nonconformity, including the cost of delivering the assistive
device to the manufacturer or dealer for repair and obtaining an alternative
device if no loaner was offered.

(5)
“Consumer” means any of the following:

(a)
The purchaser of an assistive device, if the device was purchased from a dealer
or manufacturer for purposes other than resale;

(b)
A person to whom the assistive device is transferred for purposes other than
resale, if the transfer occurs before the expiration of an express warranty
applicable to the device;

(c)
A person who may enforce the warranty; or

(d)
A person who leases an assistive device from a dealer under a written lease.

(6)
“Current value of the written lease” means the total amount for which the lease
obligates the consumer during the period of the lease remaining after its early
termination, plus the dealer’s early termination costs and the market value of
the assistive device at the lease expiration date if the lease sets forth that
market value, less the dealer’s early termination savings.

(7)
“Dealer” means a person who is in the business of selling or leasing assistive
devices.

(8)
“Demonstrator” means an assistive device that would be new but for its use,
since its manufacture, only for the purpose of demonstrating the device to the
public or prospective buyers or lessees.

(9)
“Early termination cost” means any expense or obligation that a dealer incurs
as a result of both the termination of a written lease before the termination
date set forth in the lease and the return of an assistive device to a
manufacturer under ORS 646A.464 (4). “Early termination cost” includes a
penalty for prepayment under a finance arrangement.

(10)
“Early termination savings” means any expense or obligation that a dealer
avoids as a result of both the termination of a written lease before the
termination date set forth in the lease and the return of an assistive device
to a manufacturer under ORS 646A.464 (4). “Early termination savings” includes
the interest charge that the dealer would have paid to finance the device or,
if the dealer does not finance the device, the difference between the total
amount for which a lease obligates the consumer during the period of the lease
term remaining after the early termination and the present market value of that
amount at the date of the early termination.

(11)
“Individual with a disability” means any individual who is considered to have a
mental or physical disability or impairment for the purposes of any law of this
state or of the United States, including any rules or regulations adopted under
those laws.

(12)
“Loaner” means an assistive device, provided to the consumer for use by the
user free of charge, that need not be new or be identical to or have functional
capabilities equal to or greater than those of the original assistive device,
but that meets the following conditions:

(a)
It is in good working order;

(b)
It performs at a minimum the most essential functions of the original assistive
device, in light of the disability of the user; and

(c)
Any differences between it and the original assistive device do not create a
threat to safety.

(13)
“Manufacturer” means a person who manufactures or assembles assistive devices and
agents of that person, including an importer, a distributor, factory branch,
distributor branch and any warrantor of the manufacturer’s device, but does not
include a dealer.

(14)(a)
“Nonconformity” means a condition or defect that substantially impairs the use,
market value or safety of an assistive device and that is covered by an express
warranty applicable to the device or to a component of the device.

(b)
“Nonconformity” does not include a condition or defect that:

(A)
Is the result of abuse or neglect of the device by a consumer;

(B)
Is the result of an unauthorized modification or alteration of the device by a
consumer if the modification or alteration substantially affects the
performance of the device; or

(C)
For hearing aids, is the result of normal use of the hearing aid and when the
condition or defect could be resolved through fitting adjustments, cleaning or
proper care.

(15)(a)
“Reasonable allowance for use” means:

(A)
When an assistive device has been sold to a consumer, no more than the amount
obtained by multiplying the full purchase price of the device by a fraction,
the denominator of which is the number of days in the useful life of the device
and the numerator of which is the number of days that the device was used
before the consumer first reported the nonconformity to the manufacturer or any
authorized dealer.

(B)
When an assistive device has been leased to a consumer, no more than the amount
obtained by multiplying the total amount for which the written lease obligates
the consumer by a fraction, the denominator of which is the useful life of the
device and the numerator of which is the number of days that the device was
used before the consumer first reported the nonconformity to the manufacturer
or any authorized dealer.

(b)
As used in this subsection, the useful life of the assistive device is the
greater of:

(A)
Five years; or

(B)
Such other time that the consumer may prove to be the expected useful life of
assistive devices of the same kind.

(16)
“Reasonable attempt to repair” means, within the terms of an express warranty
applicable to an assistive device:

(a)
The same nonconformity is subject to repair at least two times by the
manufacturer or any authorized dealer and the nonconformity continues; or

(b)
The assistive device is out of service, by reason of repair or correction, for
an aggregate of at least 30 days after notification to the manufacturer or any
authorized dealer because of the nonconformity.

646A.462
Express warranty; duration. (1) A manufacturer who sells or leases an assistive
device, including a demonstrator, to a consumer, either directly or through a
dealer, shall furnish, at a minimum, an express warranty that the device shall
be free from any nonconformity. The manufacturer shall set forth the warranty
fully in readily understood language and shall clearly identify the party
making the warranty, the rights that the warranty gives the consumer and how
the consumer can exercise the rights.

(2)
If the manufacturer does not furnish the express warranty described in
subsection (1) of this section, the manufacturer shall be considered to have
provided an express warranty that the device shall be free from any
nonconformity.

(3)
The duration of the warranty shall be not less than one year from the date of
first delivery of the assistive device to the consumer. [Formerly 646.484]

646A.464
Repair of assistive device. (1)(a) If a new assistive device or demonstrator
does not conform to an applicable express warranty and the consumer reports the
nonconformity to the manufacturer, the dealer who sold or leased the device or
any authorized dealer and makes the assistive device available for repair
before one year after first delivery of the device to the consumer, the
nonconformity shall be repaired at no charge to the consumer. If the consumer
notifies the manufacturer, the manufacturer is jointly obligated together with
any of its authorized dealers.

(b)
A repair for purposes of this subsection includes a repair that must take place
after the expiration of one year after first delivery of the assistive device
to the consumer, provided that the defect occurred prior to the expiration of
the warranty period and the consumer notified the manufacturer within 30 days
after expiration of the period.

(2)(a)
Except as provided in paragraphs (b) and (c) of this subsection, each
manufacturer of an assistive device sold or leased in this state shall:

(A)
Maintain or cause to be maintained in this state sufficient service and repair
facilities to carry out the terms of the warranty described in ORS 646A.462;
and

(B)
At the time of the sale or lease, provide the consumer with the names,
addresses and telephone numbers of all such service and repair facilities and
of all authorized dealers.

(b)
If the manufacturer does not provide service and repair facilities in this
state, the consumer may return the nonconforming assistive device to the dealer
who sold or leased the device or to any authorized dealer for replacement,
service or repair in accordance with the terms and conditions of the express
warranty. The replacement, service or repair shall be at the option of the
dealer to whom the device is returned. If that dealer does not replace the
nonconforming device or does not effect the service or repair of the device in
accordance with the warranty, the dealer shall reimburse the consumer in an
amount equal to the purchase or lease price paid, less a reasonable allowance
for use by the consumer.

(c)
Each manufacturer who, with respect to a new assistive device sold within this
state, does not provide a service or repair facility within this state is
liable for the following amounts to any dealer who incurs obligations in giving
effect to the express warranty described in ORS 646A.462:

(A)
In the event of replacement, in an amount equal to the cost to the dealer of
the replaced assistive device and any cost of transporting the device, plus a
reasonable handling charge;

(B)
In the event of service or repair, in an amount equal to that which would ordinarily
be received by the dealer for rendering such service or repair, including
actual and reasonable costs of the service or repair and the costs of
transporting the assistive device, if such costs are incurred, plus a
reasonable profit; or

(C)
In the event of reimbursement under paragraph (b) of this subsection, in an
amount equal to that reimbursed to the consumer plus a reasonable handling or
service charge.

(3)
For purposes of this section, a consumer reports a nonconformity when the
consumer:

(a)
Makes any communication, written or oral, that describes the problem with the
assistive device, or that may be reasonably understood as an expression of
dissatisfaction with any aspect of the operation of the device. The
communication need only indicate in some way the nature of the problem, such as
an indication of the functions that the device is not performing or performing
unsatisfactorily for the consumer, and need not be in technical language nor
attempt to state the cause of the problem; and

(b)
Does not refuse to make the assistive device available to the manufacturer, the
dealer who sold or leased the device or any authorized dealer for repair.

(4)(a)
It shall be presumed that the consumer has made the assistive device available
to the manufacturer, the dealer who sold or leased the device or an authorized
dealer for repair if the consumer allows the manufacturer or dealer to take the
device from the consumer’s residence or other location where the user
customarily uses the device.

(b)
The consumer shall be required to deliver the device to another location only
upon a showing that it would be a substantially greater hardship for the
manufacturer, the dealer who sold or leased the device or any authorized dealer
to take the device from the consumer’s residence or other location where the
user customarily uses the device than for the consumer to deliver the device.

(c)
If the consumer must deliver the device to another location in order to enable
the manufacturer to repair the device, the manufacturer shall reimburse the
consumer for the costs of the delivery.

(5)(a)
A person required to repair an assistive device under this section shall
provide the consumer a loaner if the absence of a loaner would be a threat to
the safety of the user or if the assistive device is out of service for more
than seven calendar days.

(b)
Paragraph (a) of this subsection applies whether or not the rights of the
consumer provided by ORS 646A.466 (1) or (2) have arisen and in addition to the
remedies relating to collateral costs provided by ORS 646A.460 to 646A.476. [Formerly
646.486]

646A.466
Replacement or refund after attempt to repair. If a
nonconformity develops in a new assistive device or demonstrator, the
manufacturer shall, after a reasonable attempt to repair the device or
demonstrator, at the option of the consumer:

(1)
In the case of a sale, refund to the consumer and to any holder of a perfected
security interest as their interest may appear, the full purchase price plus
any finance charge or sales tax paid by the consumer at the point of sale and
collateral costs, less a reasonable allowance for use;

(2)
In the case of a lease, refund to the dealer and to any other holder of a
perfected security interest, as their interest may appear, the current value of
the lease and refund to the consumer the amount that the consumer paid under
the lease plus any collateral costs, less a reasonable allowance for use; or

(3)
Provide a conforming replacement. [Formerly 646.488]

646A.468
Procedures for replacement or refund. (1) To receive the refund or
replacement described in ORS 646A.466, the consumer shall offer to the
manufacturer of the assistive device, the dealer who sold or leased the device
or any authorized dealer to transfer possession of the device having the
nonconformity. The manufacturer shall:

(a)
Make the refund within 14 calendar days after the consumer offers to transfer
possession;

(b)
Make the replacement within 30 calendar days after the consumer offers to
transfer possession; or

(c)
Provide the consumer a loaner for use if the replacement is not made within 14
calendar days after the consumer offers to transfer possession. The loaner may
be used until replacement is made.

(2)
The manufacturer may require as a condition of making a timely refund or
replacement described in ORS 646A.466 that the consumer deliver possession of
the original assistive device to the manufacturer, the dealer who sold or
leased the device or any authorized dealer and sign any documents necessary to
transfer title and possession of the device, or necessary to provide evidence
of the transfer, to any person designated by the manufacturer.

(3)
Subsection (2) of this section applies only if:

(a)
The time and place of the mutual activities described in subsection (2) of this
section are readily accessible to the consumer; and

(b)
The manufacturer provides the consumer written notice in 12-point bold type
stating in clear and understandable language the time and place of the mutual
activities and directing the consumer to meet at that time and place. The
notice must be received by the consumer no later than four business days before
the time of the mutual activities.

(4)
A person shall not enforce a lease against the consumer for use of an assistive
device during any period of nonconformity or after the consumer returns the
device to the manufacturer as described by this section. [Formerly 646.490]

646A.470
Sale or lease of returned assistive device. (1) An assistive device returned
by a consumer or dealer in this state, or by a consumer or dealer in another
state under a similar law of that state, may not be sold or leased again in
this state unless full disclosure of the reasons for return is made to the
prospective buyer or lessee.

(2)
If a sale or lease is made in violation of subsection (1) of this section, a
consumer who bought or took the lease of the assistive device shall have the
rights of a consumer of a new device provided by ORS 646A.466, without regard
to whether there is a nonconformity or to whether there has been a reasonable
attempt to repair the device. The following paragraphs apply to a sale or lease
under this section:

(a)
If the consumer chooses the refund option described in ORS 646A.466, there
shall be no deduction from the full purchase price in calculating the refund
under ORS 646A.466;

(b)
The rights described in this subsection run against the person who last sold or
transferred the assistive device to any other person, whether or not the other
person is a consumer, so long as the last person to sell or transfer the device
had knowledge of the previous return of the device and did not provide the
disclosure required by subsection (1) of this section; and

(c)
The rights described under this subsection must be declared and exercised by a
consumer within two years after the consumer knows of the previous return and
can identify the person against whom the rights run. [Formerly 646.492]

646A.472
Dispute resolution.
(1) A consumer shall have the option of submitting any dispute arising under
ORS 646A.460 to 646A.476 to a dispute resolution procedure. A manufacturer
shall submit to the dispute resolution procedure.

(2)
The procedure shall provide at a minimum the right of each party to present its
case, to be in attendance during any presentation made by the other party and
to rebut or refute such presentation. The individuals conducting the dispute
resolution procedure must be objective.

(3)
A decision resulting from the dispute resolution procedure shall be binding on
the manufacturer.

(4)
The records of the results of disputes settled under this section shall be
submitted to the Department of Justice if the department requests them and
shall be available to any person who makes a request for the records free of
cost within 10 business days of the person’s request. The department may review
all records created under this section to determine whether or not the
procedure and decisions comply with the provisions of ORS 646A.460 to 646A.476.

(5)
The Department of Justice shall establish a roster of dispute resolution
providers for consumers seeking to resolve disputes with manufacturers or to
assert their rights under this section. [Formerly 646.494]

646A.474
Applicability of other laws; waiver. ORS 646A.460 to 646A.476 shall not be
construed as limiting rights or remedies available to a consumer under any
other law. Any waiver by a consumer of rights provided by ORS 646A.460 to
646A.476 is void. [Formerly 646.496]

646A.476
Civil action for damages; attorney fees; limitation on actions. (1) In addition
to pursuing any other remedy, a consumer may bring a private cause of action to
recover damages caused by a violation of any provision of ORS 646A.460 to
646A.476. The court shall award a consumer who prevails in such an action
pecuniary loss and noneconomic damages, together with costs, disbursements,
reasonable attorney fees and any equitable relief that the court determines is
appropriate. Pecuniary loss caused by a violation of ORS 646A.460 to 646A.476
shall include collateral costs, beginning at the time of the violation, whether
or not the consumer acquired the rights provided by ORS 646A.466. If a consumer
has submitted a dispute arising under ORS 646A.460 to 646A.476 to a dispute
resolution procedure as described in ORS 646A.472, the consumer may not bring a
private cause of action under this section relating to that dispute until a
decision resulting from the dispute resolution procedure has been issued or
until the consumer has withdrawn the dispute from the dispute resolution
procedure.

(2)
If a consumer appeals to a court from a decision resulting from the dispute
resolution procedure described in ORS 646A.472 because the consumer was not
granted one of the remedies by ORS 646A.460 to 646A.476, and the consumer is
granted one of the remedies by the court, the consumer shall be awarded:

(a)
Up to three times the amount of any damages awarded if the court finds that the
party opposing the consumer did not act in good faith in the dispute resolution
procedure;

(b)
Reasonable attorney fees; and

(c)
Any fees incurred in the dispute resolution procedure and any judicial action.

(3)
If the party opposing the consumer is the prevailing party in an action brought
under subsection (1) or (2) of this section, the party opposing the consumer
shall be entitled to reasonable attorney fees if the court finds the action to
have been frivolous.

(4)
Any action brought under this section shall be commenced during the period
beginning one year after the date the assistive device was originally delivered
to the consumer and ending two years later. [Formerly 646.498]

VEHICLE
REPAIR SHOPS

646A.480
Definitions for ORS 646A.480 to 646A.495. As used in ORS 646A.480 to
646A.495:

(1)(a)
“Motor vehicle” means a self-propelled device, other than a motor home, that is
used:

(A)
To transport persons or property upon a public highway; and

(B)
For personal, family or household purposes.

(b)
“Motor vehicle” does not include a motor vehicle owned as part of a fleet and
maintained under the terms of a maintenance contract.

(2)
“Owner” means an individual who has legal authority or apparent legal authority
to make decisions concerning the maintenance or repair of a motor vehicle.

(3)
“Owner’s designee” means an individual who received permission in accordance
with ORS 646A.495 to make decisions concerning the repair or maintenance of a
motor vehicle.

(4)(a)
“Vehicle repair shop” means an individual, corporation, partnership, limited
liability company or other business entity that in exchange for payment
evaluates the condition of, maintains or repairs a motor vehicle.

(b)
“Vehicle repair shop” does not include a motor vehicle body and frame repair
shop, as defined in ORS 746.275. [2009 c.133 §1]

646A.482
Estimate required before beginning work; contents; evaluation. (1) A vehicle
repair shop shall prepare an estimate of the cost of work the vehicle repair
shop proposes to perform on a motor vehicle before beginning the work. The
vehicle repair shop not later than before receiving final payment shall give a
copy of the estimate, either as a separate document or in the form of an
invoice, to the owner or the owner’s designee. The vehicle repair shop shall
retain a copy of the estimate. The estimate, at a minimum, must:

(a)
Describe the general nature of the proposed work;

(b)
Divide the work into separate tasks, to the extent that the work may be divided
into separate tasks; and

(c)
List:

(A)
The estimated cost of labor and the parts or component systems the vehicle
repair shop proposes to replace;

(B)
The amount of any incidental charges; and

(C)
The total estimated cost, which may consist of a reasonable range.

(2)
If a vehicle repair shop proposes to disassemble all or a portion of a motor
vehicle or to remove parts or components of a motor vehicle in order to
evaluate the condition of the motor vehicle for the purpose of recommending or
proposing additional work, in addition to complying with the requirements shown
in subsection (1) of this section, the estimate must:

(a)
List the total estimated cost of performing the disassembly and evaluation and
a separate estimate of the cost for reassembly, assuming for the purpose of the
estimate that the owner or owner’s designee elects not to proceed with work the
vehicle repair shop may recommend or propose after evaluating the condition of
the motor vehicle; and

(b)
State the estimated amount of time, calculated from the date on which the owner
or owner’s designee authorizes the disassembly, evaluation and reassembly of
the motor vehicle, that the vehicle repair shop would reasonably take to
reassemble the motor vehicle if all necessary parts are available and if the
owner or owner’s designee, on the day that the owner or owner’s designee
receives the estimate, elects not to proceed with work the vehicle repair shop
recommends or proposes after evaluating the condition of the motor vehicle. [2009
c.133 §2]

646A.486
Prohibited actions if estimate exceeds $200; revision of estimate; methods to obtain
owner authorization.
(1) Except as provided in subsection (2) of this section, a vehicle repair shop
may not take any of the following actions if an estimate prepared under ORS
646A.482 shows that taking the action will cost the owner or the owner’s
designee more than $200:

(a)
Evaluate the condition of a motor vehicle.

(b)
Disassemble all or a portion of a motor vehicle or remove parts or components
of a motor vehicle in order to evaluate the condition of the motor vehicle.

(c)
Perform labor or replace or recondition a part in order to:

(A)
Repair a motor vehicle; or

(B)
Maintain the motor vehicle in or restore the motor vehicle to an operable
condition or a condition that conforms with an identified or recognized
standard.

(d)
Use a work method or procedure, perform a task or labor or replace a part in a
manner that differs from the method, procedure, task, labor or part described
or identified in the estimate, if the change increases the cost specified in
the estimate by more than 10 percent or by more than $200, whichever amount is
less.

(2)
A vehicle repair shop shall obtain a separate authorization from the owner or
the owner’s designee before taking an action described in subsection (1) of
this section. After consulting with the owner or owner’s designee, the vehicle
repair shop shall:

(a)
Cross out, remove from or otherwise indicate on the estimate prepared under ORS
646A.482 the work the vehicle repair shop will not perform on the motor vehicle
and recalculate and display on the estimate the cost of work the vehicle repair
shop will perform before obtaining authorization or assent from the owner or
owner’s designee; or

(b)
Prepare a new estimate in accordance with ORS 646A.482 and void the previous
estimate before obtaining authorization or assent from the owner or owner’s
designee.

(3)
The vehicle repair shop may obtain authorization or assent by any of the
following means:

(a)
Obtaining the signature of the owner or owner’s designee under a statement
printed on the estimate that authorizes the action.

(b)
Obtaining the oral assent of the owner or owner’s designee by telephone. The
vehicle repair shop shall provide the owner or owner’s designee with all
material information shown on the estimate and shall note on the estimate the
name and telephone number of the person that gives the assent and the date and
time of the call.

(c)
Receiving by facsimile, electronic mail or other electronic means a written
message that authorizes the work. A facsimile message must display the
signature of the person that gives the authorization and the date and time of
transmission. An electronic mail or other electronic message must show the name
of the person that gives the authorization and the date and time of
transmission. The vehicle repair shop shall attach the facsimile or a printout
of the electronic mail or other electronic message to a copy of the estimate. [2009
c.133 §3]

(a)
Charge a person for work not performed on a motor vehicle even if the work is
shown on an estimate for which the vehicle repair shop has obtained an
authorization from the owner or the owner’s designee.

(b)
Provide or install used parts or any component system composed of new and used
parts if an estimate prepared under ORS 646A.482 indicates that the vehicle
repair shop will use new parts or component systems in work performed on the
motor vehicle.

(c)
Knowingly provide or install, without disclosing to the owner or the owner’s
designee, a used or reconditioned part.

(2)
A vehicle repair shop shall:

(a)
Reassemble, if all necessary parts are available, approximately within the time
indicated on an estimate prepared under ORS 646A.482 (2), a motor vehicle that
the vehicle repair shop has disassembled or from which the vehicle repair shop
has removed parts in order to evaluate the condition of the motor vehicle.

(b)
Maintain for not less than one year, in electronic or printed form, legible
copies of all documents required or provided under ORS 646A.480 to 646A.495. [2009
c.133 §4]

646A.495
Owner designee; waiver of authorization requirement. (1) An owner
may designate a person as the owner’s designee:

(a)
In writing, either on the estimate prepared under ORS 646A.482 or by means of a
separate document. The owner shall sign a written designation made in
accordance with this paragraph. If the designation is a separate document, the
vehicle repair shop shall attach a copy of the document to the estimate.

(b)
Orally or by telephone. For a designation made in accordance with this
paragraph, the vehicle repair shop shall note on the estimate the name and
telephone number of the person who made the designation, the name of the owner’s
designee and, if the person made the designation by telephone, the date and
time of the call.

(2)
An owner may waive the authorization requirement set forth in ORS 646A.486 (2)
only when the owner receives an explanation of the authorization requirements
and signs a separate document directly under a statement that conspicuously
identifies the authorization requirement.

(3)
An owner may not designate a motor vehicle repair shop or a principal, agent or
employee of a motor vehicle repair shop as the owner’s designee.

(4)
For purposes of this section, a statement is conspicuous if a reasonable person
reading the separate document should have noticed the statement. [2009 c.133 §5]

(2)
The purpose of ORS 646A.500 to 646A.514 is to prevent the occurrence of
injuries to and deaths of infants resulting from unsafe cribs by making it
illegal to remanufacture, retrofit, sell, contract to sell or resell, lease,
sublet or otherwise place in the stream of commerce any crib that is unsafe for
an infant using the crib. [Formerly 646.500]

646A.502
Short title.
ORS 646A.500 to 646A.514 may be referred to as the Infant Crib Safety Act. [Formerly
646.501]

646A.504
Definitions for ORS 646A.500 to 646A.514. As used in ORS 646A.500 to
646A.514:

(1)
“Commercial user” means any person, firm, corporation, association or nonprofit
corporation, or any agent or employee thereof, including child care facilities
or family child care homes certified or registered by the Office of Child Care
under ORS 329A.250 to 329A.450, who:

(a)
Deals in cribs of the kind governed by ORS 646A.500 to 646A.514;

(b)
By virtue of the person’s occupation, purports to have knowledge or skill
peculiar to the cribs governed by ORS 646A.500 to 646A.514; or

(c)
Is in the business of remanufacturing, retrofitting, selling, leasing,
subletting or otherwise placing cribs in the stream of commerce.

(2)
“Crib” means:

(a)
Any full-size crib as that term is defined in 16 C.F.R. 1508.3; or

(b)
Any nonfull-size crib as that term is defined in 16 C.F.R. 1509.2(b).

(3)
“Individual” means a natural person who is not a commercial user of cribs.

(4)
“Infant” means an individual who is less than three years of age. [Formerly
646.502; 2013 c.624 §85]

646A.506
Prohibited conduct.
(1) A commercial user may not remanufacture, retrofit, sell, contract to sell
or resell, lease, sublet or otherwise place in the stream of commerce a crib
that is unsafe for an infant using the crib.

(2)
A crib is presumed to be unsafe pursuant to ORS 646A.500 to 646A.514 if it does
not conform to the following standards:

(3)
Cribs that are presumed to be unsafe under subsection (2) of this section
include but are not limited to cribs with any of the following features or
characteristics:

(a)
Corner posts that extend more than one-sixteenth of an inch;

(b)
Spaces between side slats more than two and three-eighths inches;

(c)
Mattress supports that can be easily dislodged from any point of the crib. A
mattress support can be easily dislodged if it cannot withstand a 25-pound
upward force from underneath the crib;

(d)
Cutout designs on the end panels;

(e)
Rail height dimensions that do not conform to the following:

(A)
The height of the rail and end panel as measured from the top of the rail or
panel in its lowest position to the top of the mattress support in its highest
position is at least nine inches; or

(B)
The height of the rail and end panel as measured from the top of the rail or
panel in its highest position to the top of the mattress support in its lowest
position is at least 26 inches;

(f)
Any screws, bolts or hardware that is loose or not secured;

(g)
Sharp edges, points, rough surfaces or any wood surfaces that are not smooth
and free from splinters, splits or cracks; or

(h)
Cribs with tears in mesh or fabric sides.

(4)
An individual may not remanufacture, retrofit, sell, contract to sell or
resell, lease, sublet or otherwise place in the stream of commerce a crib that
is unsafe for an infant using the crib. [Formerly 646.503]

646A.508
Penalties.
(1) A commercial user who willfully and knowingly sells, leases or otherwise
places in the stream of commerce an unsafe baby crib as described in ORS
646A.506 (1) to (3) commits a Class A violation.

(2)
An individual who willfully and knowingly sells, leases or otherwise places in
the stream of commerce an unsafe baby crib as described in ORS 646A.506 (1) to
(3) commits a Class B violation. [Formerly 646.504; 2011 c.597 §259]

646A.510
Exemptions.
(1) An antique or vintage crib that is clearly not intended for use by an
infant is exempt from the provisions of ORS 646A.500 to 646A.514 if the antique
or vintage crib is accompanied at the time of remanufacturing, retrofitting,
selling, leasing, subletting or otherwise placing in the stream of commerce by
a notice furnished by the commercial user that states that the antique or
vintage crib is not intended for use by an infant and that the antique or
vintage crib is dangerous for use by an infant.

(2)
A commercial user is exempt from liability resulting from use of an antique or
vintage crib in a manner that is contrary to the notice required by this
section.

(3)
As used in this section, “antique or vintage crib” means a crib that is:

(a)
50 years or older measured from the current year;

(b)
Maintained as a collector’s item; and

(c)
Not intended for use by an infant. [Formerly 646.505]

646A.512
Private right of action; attorney fees. Any person may maintain an action
against a commercial user who violates ORS 646A.506 (1) to (3), to enjoin the
remanufacture, retrofitting, sale, contract to sell or resell, lease or
subletting of a crib that is unsafe for an infant, and for reasonable attorney
fees and costs. [Formerly 646.506]

646A.514
Scope of remedies.
Remedies available under ORS 646A.508 and 646A.512 are in addition to any other
remedies available under law to an aggrieved party. [Formerly 646.507]

CHILDREN’S
PRODUCTS

646A.525
Definitions for ORS 646A.525 to 646A.535. As used in ORS 646A.525 to
646A.535:

(1)(a)
“Children’s product” means a consumer product that is designed or intended:

(A)
For the care of or use by a child under 12 years of age; or

(B)
To come into contact with a child under 12 years of age at the time the product
is used.

(b)
“Children’s product” does not include:

(A)
A medication, drug, food or other product that is intended to be ingested; or

(B)
A crib, as defined in ORS 646A.504.

(2)
“Retailer” means a person that, in the ordinary course of the person’s
business, sells or offers for sale, leases, sublets or otherwise distributes a
children’s product to consumers in this state.

(3)(a)
“Warning” means a communication about a health or safety hazard that a children’s
product poses to consumers that is:

(A)
Directed to a retailer; and

(B)
Intended to inform the retailer about the health or safety hazard, instruct the
retailer to remove the children’s product from inventory or provide the
retailer with a method to eliminate the health or safety hazard.

(b)
“Warning” does not include a communication:

(A)
Directed to consumers; and

(B)
Affixed to the children’s product or packaging related to the children’s
product or provided by the retailer to the consumer as part of a transaction
related to the children’s product. [2008 c.31 §1]

646A.530
Prohibited sales of certain children’s products; recall notices and warnings;
disposal of recalled children’s products; compliance with warning instructions. (1) A retailer
may not sell or offer for sale, lease, sublet or otherwise distribute a
children’s product to consumers in this state if the children’s product is:

(a)
Subject to a recall notice issued by or in cooperation with the United States
Consumer Product Safety Commission or a successor agency;

(b)
The subject of a warning issued by the children’s product manufacturer or the
Consumer Product Safety Commission or a successor agency that the intended use
of the children’s product constitutes a health or safety hazard, unless the
retailer has eliminated the hazard and made the children’s product safe for
sale, lease, subletting or distribution to consumers in strict compliance with
standards and instructions provided in or related to the warning; or

(c)
Subject to a declaration by the Director of the Oregon Health Authority under
ORS 453.055 or under rules adopted by the Oregon Health Authority that the
children’s product is a banned hazardous substance.

(2)
A retailer shall subscribe to or arrange to receive recall notices and warnings
issued by the Consumer Product Safety Commission and warnings issued by
manufacturers from which the retailer receives children’s products.

(3)
A retailer shall dispose of a children’s product identified in a recall notice
or warning issued by or in cooperation with the Consumer Product Safety
Commission or a successor agency in strict compliance with disposal
instructions included with or related to the recall notice or warning.

(4)
A retailer shall comply strictly with all return, repair, retrofitting,
labeling or remediation instructions issued with or related to a warning issued
by the Consumer Product Safety Commission or a successor agency, an agency of
this state or the children’s product manufacturer. [2008 c.31 §2; 2009 c.595 §1162]

646A.535
Assistance of Attorney General in obtaining recall notices. The Attorney
General shall assist retailers in obtaining information the retailers may need
to subscribe to or arrange to receive recall notices issued by the United
States Consumer Product Safety Commission for children’s products. The
assistance shall include, but is not limited to, providing links from the
Attorney General’s website to a website maintained by or in cooperation with
the Consumer Product Safety Commission for the purpose of disseminating product
recall notices. [2008 c.31 §3]

LICENSES

646A.550
Short title.
ORS 646A.555 may be cited as the Oregon Young Entrepreneurs Act. [2009 c.276 §1]

646A.555
License to engage in business activity not required for individual under 17
years of age.
(1) Except as provided in subsection (2) of this section and notwithstanding
any other provision of law, the State of Oregon, a political subdivision of the
state or an agency of the state or of a political subdivision of the state may
not require an individual under 17 years of age who is a resident of this state
to obtain a license or permit to engage in a business activity in which the
individual operates as a sole proprietor under the individual’s own name.

(2)
This section does not affect a statute, rule, ordinance or other provision of
law that requires a license, certificate, registration, permit or other
authorization to conduct a business activity that is subject to regulation for
the purpose of protecting the environment or the public health, safety or
welfare. [2009 c.276 §2]

MERCURY
IN LIGHTING PRODUCTS

646A.560
Legislative findings.
The Legislative Assembly finds that it is in the best interest of this state
to:

(1)
Reduce the amount of mercury in lighting that contains mercury; and

(2)
Continue to work with federal, state and local government agencies as well as
manufacturers, retailers and others to expand opportunities for consumers to
recycle lighting that contains mercury. [2012 c.52 §1]

646A.562
Definitions for ORS 646A.560 to 646A.566. As used in ORS 646A.560 to
646A.566:

(1)
“Lighting that contains mercury” means an electric lamp, including compact
fluorescent lamps, straight fluorescent lamps and nonlinear fluorescent lamps,
to which mercury or mercury compounds are added during the manufacturing
process.

(2)
“Long lifetime” means 25,000 hours or more when tested on an electronic
ballast, including T8 instant start ballasts and T5 programmed start ballasts,
and turned off and on every three hours.

(3)
“Normal lifetime” means less than 25,000 hours when tested on an electronic
ballast, including T8 instant start ballasts and T5 programmed start ballasts,
and turned off and on every three hours.

(A)
Manufactures and sells lighting that contains mercury under its own brand;

(B)
Resells under its own brand lighting that contains mercury produced by other
suppliers;

(C)
Imports or exports lighting that contains mercury on a professional basis; or

(D)
Serves as the importer or domestic distributor of lighting that contains
mercury if the brand name owner is located outside of the United States.

(b)
“Producer of lighting that contains mercury” does not mean a reseller of
lighting that contains mercury if the brand of the manufacturer of the lighting
that contains mercury appears on the lighting.

646A.564
Standards for mercury content in electric lamps; exceptions. (1) A producer
of lighting that contains mercury may not sell, offer for sale or distribute in
this state any electric lamps that contain mercury in an amount exceeding, per
lamp, the following mercury content standards:

(e)
5 milligrams for straight fluorescent T5 and T8 lamps with a long lifetime.

(f)
15 milligrams for T12 8-foot straight fluorescent lamps.

(2)
The mercury content standard specified in subsection (1)(d) of this section
does not apply to 8-foot models of straight fluorescent T8 lamps.

(3)
The mercury content standards specified in subsection (1) of this section do
not apply to:

(a)
High-output, and very high-output, straight fluorescent lamps more than 32 millimeters
in diameter.

(b)
Mogul bi-pin based lamps.

(c)
Preheat straight fluorescent lamps of any size.

(d)
Special purpose lighting.

(e)
High intensity discharge lamps. [2012 c.52 §3]

646A.566
Considerations for state agency procurement of lighting devices that contain
mercury.
When making procurement decisions on lighting that contains mercury, the Oregon
Department of Administrative Services, after consultation with the Department
of Environmental Quality, shall request information on mercury content, energy
use, lumen output and lighting lifetime from potential suppliers and shall, in
accordance with the Public Contracting Code and rules adopted under the Public
Contracting Code, issue specifications and make procurement decisions that
favor lighting that contains mercury that meets the mercury content standards
established by ORS 646A.564. [2012 c.52 §4]

Note: Section 5,
chapter 52, Oregon Laws 2012, provides:

Sec.
5.
On or after January 1, 2014, the Department of Environmental Quality shall report
to the Legislative Assembly in the manner provided by ORS 192.245 if the
department determines that the State of California has adopted, in whole or in
part, the mercury content standards for compact fluorescent lamps contained in
the RoHS 2 Directive, Directive 2011/65/EC, adopted by the European Parliament
and the Council of the European Union on June 8, 2011, on the restriction of
certain hazardous substances in electrical and electronic equipment. The
department shall also consider any amendments to the RoHS 2 Directive. The
report must also include the department’s recommendation on whether the
Legislative Assembly should change the amount of mercury allowed under the
mercury content standards established by section 3 of this 2012 Act [646A.564].
[2012 c.52 §5]

PORTABLE
ELECTRONICS INSURANCE

646A.575
Definitions for ORS 646A.575 to 646A.590. As used in ORS 646A.575 to
646A.590:

(5)
“Location” means a physical location in this state or a website, call center
site or similar electronic or telephonic location where portable electronics
may be purchased or leased.

(6)
“Person” means an individual, partnership, corporation, incorporated or unincorporated
association, joint stock company or any similar entity or combination of
entities acting in concert.

(7)
“Portable electronics” means an electronics device that is portable and
includes accessories and services, including but not limited to wireless
services, related to use of the device.

(8)(a)
“Portable electronics insurance coverage” means insurance that provides
coverage for the repair or replacement of portable electronics in the event of
loss, theft, inoperability due to mechanical failure, malfunction, damage or
need for repair or replacement as a result of some other covered source of
peril.

(b)
“Portable electronics insurance coverage” does not include:

(A)
A service contract as defined in ORS 646A.152 that is governed by ORS 646A.150
to 646A.172;

(B)
A warranty;

(C)
A maintenance agreement as defined in ORS 646A.152; or

(D)
A policy of insurance covering the obligations of a vendor or of a portable
electronics manufacturer under a warranty.

(9)
“Supervising entity” means an insurer as defined in ORS 731.106, or an
insurance producer as defined in ORS 731.104, that may or may not issue, sell
or offer for sale policies of portable electronics insurance to vendor
policyholders.

(10)
“Vendor” means a person engaged in the business of selling or leasing or
offering for sale or lease portable electronics.

(11)
“Vendor policyholder” means a vendor that holds a limited license under ORS
646A.577 and that has been issued a policy by an insurer or a supervising
entity pursuant to which the vendor may issue, sell or offer for sale portable
electronics insurance coverage to customers. [2011 c.393 §1]

646A.577
Limited license required; application; fee; renewal; prohibited
representations.
(1) A vendor may not issue, sell or offer for sale portable electronics
insurance coverage unless the vendor has been issued a limited license by the
Department of Consumer and Business Services under this section.

(2)(a)
An application for a limited license under this section must be submitted on a
form in accordance with paragraph (b) of this subsection and accompanied by a
fee as prescribed by the department by rule.

(b)
The application must, at a minimum, include:

(A)
The name and street address of an employee, agent or authorized representative
of the vendor who is the person designated by the vendor as being responsible
for the vendor’s compliance with ORS 646A.575 to 646A.590; and

(B)
The name and address in this state of a person designated by the vendor as the
vendor’s agent upon whom may be served, in the manner described in ORS 59.155,
at any time any process, notice or demand in a civil proceeding brought in
connection with portable electronics insurance coverage, including a proceeding
brought by the Director of the Department of Consumer and Business Services.

(c)
A vendor licensed under this section shall annually update the contact
information provided to the department under paragraph (b) of this subsection.

(3)(a)
A limited license issued under this section is valid for two years unless suspended
or revoked by the department.

(b)
A limited license may be renewed upon expiration for another two-year period
upon application of the vendor and payment of a fee as prescribed by the
department by rule.

(4)
A vendor licensed under this section may not advertise, represent or otherwise
hold itself out as being licensed to sell any other type of insurance unless
the vendor is actually licensed under the laws of this state to sell the other
type of insurance. [2011 c.393 §2]

646A.580
Cost of coverage; billing requirements; remission to insurer or supervising
entity; funds held in trust; compensation. (1) A vendor policyholder may
bill and collect the cost of portable electronics insurance coverage purchased
by an enrolled customer. Any charge to the enrolled customer for coverage that
is not included in the cost to the enrolled customer to purchase or lease
portable electronics must be separately itemized in writing. If the coverage is
included with the purchase or lease of portable electronics, whether or not the
coverage is included in the cost to the enrolled customer of the purchase or
lease of the portable electronics, the vendor policyholder shall clearly and
conspicuously disclose in writing to the enrolled customer that the coverage is
included with the purchase or lease of the portable electronics.

(2)
If authorized by an insurer or a supervising entity, a vendor policyholder that
bills and collects the cost of portable electronics insurance coverage from an
enrolled customer is not required to deposit the amount paid in a segregated
account but shall remit the amount collected to the insurer or the supervising
entity within 60 days of receipt from the enrolled customer.

(3)
Moneys collected by a vendor policyholder from an enrolled customer for the
cost of portable electronics insurance coverage are funds held by the vendor
policyholder in trust for the benefit of the insurer or the supervising entity.

(4)
A vendor policyholder may receive compensation from an insurer or a supervising
entity for billing and collecting the cost of portable electronics insurance
coverage purchased by enrolled customers.

646A.582
Written disclosure requirements. A vendor policyholder shall make
available to prospective customers of portable electronics written materials
that disclose:

(1)
That portable electronics insurance coverage may duplicate coverage already
held by the customer, including but not limited to homeowner’s insurance or
renter’s insurance;

(2)
That issuance of portable electronics insurance coverage is not required for
the customer to purchase or lease portable electronics;

(3)
The material terms of coverage, including but not limited to:

(a)
The identity of and contact information for the insurer or the supervising
entity that issued the insurance policy to the vendor policyholder;

(b)
The amount of any applicable deductible and how the deductible is required to
be paid when a claim is made;

(c)
The benefits of coverage; and

(d)
Whether the covered portable electronics will be repaired or replaced with a
similar make and model, with a new or reconditioned device, accessory or part,
or with a device, accessory or part from other than the original manufacturer;

(4)
The process and requirements for returning portable electronics, and any fees
that will apply in the event the enrolled customer does not comply with the
process and requirements; and

(5)
That the enrolled customer may cancel the portable electronics insurance
coverage at any time and that the person paying the premium shall receive a
refund of the unused portion of any amount that has been paid for coverage. A
reasonable administrative fee may be charged in an amount not to exceed 10
percent of the refund due. [2011 c.393 §4]

646A.585
Exceptions to license requirement; prohibited representations; acts of
employees.
(1) An employee, agent or authorized representative of a vendor policyholder
may issue, sell or offer for sale portable electronics insurance coverage to a
customer without obtaining a limited license under ORS 646A.577 if:

(a)
The vendor policyholder has been issued a limited license under ORS 646A.577;
and

(b)
The insurer or the supervising entity that issued a policy of portable
electronics insurance to the vendor policyholder develops a training program
for employees, agents and authorized representatives of the vendor policyholder
that:

(A)
Is completed by employees, agents and authorized representatives of the vendor
policyholder who are directly engaged in the issuing, selling or offering for
sale of portable electronics insurance coverage to customers;

(B)
Includes basic instruction about portable electronics insurance coverage and
the disclosures required under ORS 646A.582; and

(C)
If delivered electronically, includes a supplementary education program that is
conducted and overseen by employees of the insurer or the supervising entity.

(2)
An employee, agent or authorized representative of a vendor policyholder who is
authorized to issue, sell or offer for sale portable electronics insurance
coverage under this section may not advertise, represent or otherwise hold
themselves out as holding a limited license under ORS 646A.577 or being a
licensed insurer or insurance producer as those terms are defined in ORS
731.104 and 731.106 unless the employee, agent or authorized representative has
been issued a limited license or is licensed as an insurer or insurance
producer under the laws of this state.

(3)
The acts of an employee, agent or authorized representative of a vendor
policyholder who is authorized to issue, sell or offer for sale portable
electronics insurance coverage under this section are deemed to be the acts of
the vendor policyholder for purposes of ORS 646A.575 to 646A.590. [2011 c.393 §5]

646A.588
Restrictions on modification or termination of coverage; notice; consent to
notice.
(1) Except as provided in subsections (2) and (3) of this section, an insurer
or a supervising entity that issued a policy of portable electronics insurance
to a vendor policyholder may not modify or terminate the terms and conditions
of the policy unless the insurer or the supervising entity:

(a)
Provides the vendor policyholder and enrolled customers with notice of the
modification or termination not less than 60 days before the effective date of
the modification or termination; and

(b)
In the event of a modification only, provides:

(A)
The vendor policyholder with a revised policy or endorsement that is evidence
of the modification; and

(B)
Each enrolled customer with a revised certificate, endorsement or other
evidence of a change in terms and conditions, updated written materials and a
summary of the material changes to the terms and conditions of coverage.

(2)(a)
An insurer or a supervising entity may terminate an enrolled customer’s
portable electronics insurance coverage:

(A)
Upon discovering fraud or material misrepresentation the enrolled customer made
in obtaining the coverage or in presenting a claim; or

(B)
For nonpayment of a premium.

(b)
The insurer or the supervising entity must notify the enrolled customer at
least 15 days before a termination under this subsection.

(3)
An insurer or a supervising entity may immediately terminate an enrolled
customer’s portable electronics insurance coverage if the enrolled customer
ceases to have active wireless service with the vendor policyholder or the
enrolled customer exhausts the aggregate limit of liability, and the insurer or
the supervising entity sends notice of termination to the enrolled customer
within 30 days after the active service ceases or the limit has been exhausted.

(4)
A vendor policyholder that has issued portable electronics insurance coverage
to an enrolled customer may not terminate the coverage unless the vendor
policyholder provides the enrolled customer with notice of the termination not
less than 30 days before the effective date of the termination. The supervising
entity may provide notice under this subsection on the vendor policyholder’s
behalf.

(5)(a)
Notice or correspondence to a vendor policyholder or enrolled customer that is
required under this section, or that is otherwise required by law, may either
be sent as an electronic record in accordance with ORS 84.001 to 84.061 and
84.070, or:

(A)
In the case of a vendor policyholder, mailed or delivered to the vendor
policyholder at the vendor policyholder’s principal place of business in this
state; or

(B)
In the case of an enrolled customer, mailed or delivered to the enrolled
customer’s last known mailing address.

(b)
An enrolled customer consents to receive a notice or correspondence with
respect to a policy of portable electronics insurance by electronic means if,
after the insurer, the insurer’s agent or the vendor that sold the portable
electronics notifies the enrolled customer that providing an electronic mail
address to the insurer, the insurer’s agent or the vendor is consent to receive
the notice or correspondence by electronic means, the enrolled customer
provides an electronic mail address to the insurer, the insurer’s agent or the
vendor.

(c)
An insurer, a supervising entity or a vendor policyholder that provides notice
or sends correspondence under this section shall maintain proof of providing
the notice or sending the correspondence for a minimum of three years after the
termination of the portable electronics insurance coverage. Proof of mailing or
delivery to the enrolled customer’s last known mailing address or electronic
mailing address is sufficient proof of providing the notice or sending the
correspondence. [2011 c.393 §6; 2013 c.97 §1]

646A.590
Rules.
The Department of Consumer and Business Services shall adopt rules to carry out
the provisions of ORS 646A.575 to 646A.590. [2011 c.393 §7]

646A.592
Enforcement.
In addition to all other penalties and enforcement provisions provided by law,
if a person violates a provision of ORS 646A.575 to 646A.590 or a rule adopted
by the Department of Consumer and Business Services under ORS 646A.590, the
department may:

646A.602
Definitions for ORS 646A.600 to 646A.628. As used in ORS 646A.600 to
646A.628:

(1)(a)
“Breach of security” means an unauthorized acquisition of computerized data
that materially compromises the security, confidentiality or integrity of
personal information that a person maintains.

(b)
“Breach of security” does not include an inadvertent acquisition of personal
information by a person or the person’s employee or agent if the personal information
is not used in violation of applicable law or in a manner that harms or poses
an actual threat to the security, confidentiality or integrity of the personal
information.

(2)
“Consumer” means an individual resident of this state.

(3)
“Consumer report” means a consumer report as described in section 603(d) of the
federal Fair Credit Reporting Act (15 U.S.C. 1681a(d)), as that Act existed on
October 1, 2007, that a consumer reporting agency compiles and maintains.

(4)
“Consumer reporting agency” means a consumer reporting agency as described in
section 603(p) of the federal Fair Credit Reporting Act (15 U.S.C. 1681a(p)) as
that Act existed on October 1, 2007.

(5)
“Debt” means any obligation or alleged obligation arising out of a consumer
transaction, as defined in ORS 646.639.

(6)
“Encryption” means the use of an algorithmic process to transform data into a
form in which the data is rendered unreadable or unusable without the use of a
confidential process or key.

(7)
“Extension of credit” means a right to defer paying debt or a right to incur
debt and defer paying the debt, that is offered or granted primarily for
personal, family or household purposes.

(8)
“Identity theft” has the meaning set forth in ORS 165.800.

(9)
“Identity theft declaration” means a completed and signed statement that
documents alleged identity theft, using the form available from the Federal
Trade Commission, or another substantially similar form.

(10)
“Person” means any individual, private or public corporation, partnership,
cooperative, association, estate, limited liability company, organization or
other entity, whether or not organized to operate at a profit, or a public body
as defined in ORS 174.109.

(11)
“Personal information”:

(a)
Means a consumer’s first name or first initial and last name in combination
with any one or more of the following data elements, when the data elements are
not rendered unusable through encryption, redaction or other methods, or when
the data elements are encrypted and the encryption key has also been acquired:

(A)
Social Security number;

(B)
Driver license number or state identification card number issued by the
Department of Transportation;

(C)
Passport number or other United States issued identification number; or

(D)
Financial account number, credit or debit card number, in combination with any
required security code, access code or password that would permit access to a
consumer’s financial account.

(b)
Means any of the data elements or any combination of the data elements described
in paragraph (a) of this subsection when not combined with the consumer’s first
name or first initial and last name and when the data elements are not rendered
unusable through encryption, redaction or other methods, if the information
obtained would be sufficient to permit a person to commit identity theft
against the consumer whose information was compromised.

(c)
Does not include information, other than a Social Security number, in a
federal, state or local government record that is lawfully made available to
the public.

(12)
“Proper identification” means written information or documentation that a
consumer or representative can present to another person as evidence of the
consumer’s or representative’s identity, examples of which include:

(a)
A valid Social Security number or a copy of a valid Social Security card;

(b)
A certified or otherwise official copy of a birth certificate that a
governmental body issued; and

(c)
A copy of a driver license or other government-issued identification.

(13)
“Protected consumer” means an individual who is:

(a)
Not older than 16 years old at the time a representative requests a security
freeze on the individual’s behalf; or

(b)
Incapacitated or for whom a court or other authority has appointed a guardian
or conservator.

(14)
“Protective record” means information that a consumer reporting agency compiles
to identify a protected consumer for whom the consumer reporting agency has not
prepared a consumer report.

(15)
“Redacted” means altered or truncated so that no more than the last four digits
of a Social Security number, driver license number, state identification card
number, account number or credit or debit card number is accessible as part of
the data.

(16)
“Representative” means a consumer who provides a consumer reporting agency with
sufficient proof of the consumer’s authority to act on a protected consumer’s
behalf.

(17)
“Security freeze” means a notice placed in a consumer report at a consumer’s
request or a representative’s request or in a protective record at a
representative’s request that, subject to certain exemptions, prohibits a
consumer reporting agency from releasing information in the consumer report or
the protective record for an extension of credit, unless the consumer
temporarily lifts the security freeze on the consumer’s consumer report or a
protected consumer or representative removes the security freeze on or deletes
the protective record. [2007 c.759 §2; 2013 c.415 §1]

646A.604
Notice of breach of security; delay; methods of notification; contents of
notice; application of notice requirement. (1) Any person that owns,
maintains or otherwise possesses data that includes a consumer’s personal
information that is used in the course of the person’s business, vocation,
occupation or volunteer activities and was subject to a breach of security
shall give notice of the breach of security following discovery of such breach
of security, or receipt of notification under subsection (2) of this section,
to any consumer whose personal information was included in the information that
was breached. The disclosure notification shall be made in the most expeditious
time possible and without unreasonable delay, consistent with the legitimate
needs of law enforcement as provided in subsection (3) of this section, and
consistent with any measures necessary to determine sufficient contact
information for the consumers, determine the scope of the breach and restore
the reasonable integrity, security and confidentiality of the data.

(2)
Any person that maintains or otherwise possesses personal information on behalf
of another person shall notify the owner or licensor of the information of any
breach of security immediately following discovery of such breach of security
if a consumer’s personal information was included in the information that was
breached.

(3)
The notification to the consumer required by this section may be delayed if a
law enforcement agency determines that the notification will impede a criminal
investigation and that agency has made a written request that the notification
be delayed. The notification required by this section shall be made after that
law enforcement agency determines that its disclosure will not compromise the
investigation and notifies the person in writing.

(4)
For purposes of this section, notification to the consumer may be provided by
one of the following methods:

(a)
Written notice.

(b)
Electronic notice if the person’s customary method of communication with the
consumer is by electronic means or is consistent with the provisions regarding
electronic records and signatures set forth in the Electronic Signatures in
Global and National Commerce Act (15 U.S.C. 7001) as that Act existed on
October 1, 2007.

(c)
Telephone notice, provided that contact is made directly with the affected
consumer.

(d)
Substitute notice, if the person demonstrates that the cost of providing notice
would exceed $250,000, that the affected class of consumers to be notified
exceeds 350,000, or if the person does not have sufficient contact information
to provide notice. Substitute notice consists of the following:

(A)
Conspicuous posting of the notice or a link to the notice on the Internet home
page of the person if the person maintains one; and

(B)
Notification to major statewide television and newspaper media.

(5)
Notice under this section shall include at a minimum:

(a)
A description of the incident in general terms;

(b)
The approximate date of the breach of security;

(c)
The type of personal information obtained as a result of the breach of
security;

(d)
Contact information of the person subject to this section;

(e)
Contact information for national consumer reporting agencies; and

(f)
Advice to the consumer to report suspected identity theft to law enforcement,
including the Federal Trade Commission.

(6)
If a person discovers a breach of security affecting more than 1,000 consumers
that requires disclosure under this section, the person shall notify, without
unreasonable delay, all consumer reporting agencies that compile and maintain
reports on consumers on a nationwide basis of the timing, distribution and
content of the notification given by the person to the consumers. In no case
shall a person that is required to make a notification required by this section
delay any notification in order to make the notification to the consumer
reporting agencies. The person shall include the police report number, if
available, in its notification to the consumer reporting agencies.

(7)
Notwithstanding subsection (1) of this section, notification is not required
if, after an appropriate investigation or after consultation with relevant
federal, state or local agencies responsible for law enforcement, the person
determines that no reasonable likelihood of harm to the consumers whose
personal information has been acquired has resulted or will result from the
breach. Such a determination must be documented in writing and the
documentation must be maintained for five years.

(8)
This section does not apply to:

(a)
A person that complies with the notification requirements or breach of security
procedures that provide greater protection to personal information and at least
as thorough disclosure requirements pursuant to the rules, regulations,
procedures, guidance or guidelines established by the person’s primary or
functional federal regulator.

(b)
A person that complies with a state or federal law that provides greater
protection to personal information and at least as thorough disclosure
requirements for breach of security of personal information than that provided
by this section.

(c)
A person that is subject to and complies with regulations promulgated pursuant
to Title V of the Gramm-Leach-Bliley Act of 1999 (15 U.S.C. 6801 to 6809) as
that Act existed on October 1, 2007. [2007 c.759 §3]

646A.606
Security freeze; requirements; fee; proof of authority; effect. (1) A consumer
may elect to place a security freeze on the consumer’s consumer report or, if
the consumer is a representative, on a protected consumer’s consumer report or
protective record by sending a written request to a consumer reporting agency
at an address the agency designates to receive such requests, or a secure
electronic request at a website the agency designates to receive such requests
if the consumer reporting agency, at the agency’s discretion, makes a secure
electronic method available.

(2)
If the consumer or protected consumer is the victim of identity theft or has
reported a theft of personal information to a law enforcement agency, the consumer
or representative may include a copy of the police report, incident report or
identity theft declaration.

(3)(a)
The consumer or representative must provide proper identification and any fee
authorized by ORS 646A.610.

(b)(A)
In addition to the information and fee described in paragraph (a) of this
subsection, a representative who seeks to place a security freeze on a
protected consumer’s consumer report or protective record shall provide
sufficient proof of the representative’s authority to act on the protected
consumer’s behalf.

(B)
For purposes of subparagraph (A) of this paragraph, sufficient proof of
authority consists of:

(i)
A court order that identifies or describes the relationship between the
representative and the protected consumer;

(ii)
A valid and lawfully executed power of attorney that permits the representative
to act on the protected consumer’s behalf; or

(iii)
A written affidavit that the representative signs and has notarized in which
the representative expressly describes the relationship between the
representative and the protected consumer and the representative’s authority to
act on the protected consumer’s behalf.

(4)(a)
Except as provided in ORS 646A.614, if a security freeze is in place for a
consumer report, information from the consumer report may not be released
without prior express authorization from the consumer.

(b)
Information from a protective record may not be released until the protected
consumer for whom the consumer reporting agency created the protective record,
or a representative of the protected consumer, removes the security freeze.

(5)
This section does not prevent a consumer reporting agency from advising a third
party that a security freeze is in effect with respect to the consumer report
or protective record. [2007 c.759 §4; 2013 c.415 §2]

646A.608
Deadline for placing security freeze; protective record creation; use and
release of information; confirmation; personal identification number;
exception; lifting and removal; fees. (1)(a) A consumer reporting agency
shall place a security freeze on a consumer report not later than five business
days after receiving from a consumer:

(A)
The request described in ORS 646A.606 (1);

(B)
Proper identification; and

(C)
A fee, if applicable.

(b)
If a consumer report does not exist for a protected consumer on behalf of whom
a representative seeks to place a security freeze, a consumer reporting agency
shall create a protective record after receiving from the representative the
request described in ORS 646A.606 (1), proper identification for both the
representative and the protected consumer and sufficient proof of authority, as
described in ORS 646A.606 (3)(b). After creating a protective record for a
protected consumer under this paragraph, the consumer reporting agency shall
place the security freeze that the representative requested on the protected
consumer’s protective record.

(c)
The protective record that the consumer reporting agency creates under
paragraph (b) of this subsection does not need to contain any information other
than the protected consumer’s personal information, if other information for
the protected consumer is not available. Except as provided in ORS 646A.614, a
consumer reporting agency may not use or release to another person the information
in a protective record for the purpose of assessing a protected consumer’s
eligibility or capacity for an extension of credit, as a basis for evaluating a
protected consumer’s character, reputation or personal characteristics or for
other purposes that are not related to protecting the protected consumer from
identity theft.

(2)(a)
The consumer reporting agency shall send a written confirmation of a security
freeze on a consumer’s consumer report to the consumer at the last known
address for the consumer shown in the consumer report that the consumer
reporting agency maintains, within 10 business days after placing the security
freeze and, with the confirmation, shall provide the consumer with a unique
personal identification number or password or similar device the consumer must
use to authorize the consumer reporting agency to release the consumer’s
consumer report for a specific period of time or to permanently remove the
security freeze. The consumer reporting agency shall include with the written
confirmation information that describes how to remove a security freeze and how
to temporarily lift a security freeze on a consumer report, other than a
consumer report for a protected consumer, in order to allow access to
information from the consumer’s consumer report for a period of time while the
security freeze is in place.

(b)
This subsection does not require a consumer reporting agency to provide a
consumer or representative with a personal identification number or password
for the consumer or representative to use to authorize the consumer reporting
agency to release information from a protective record.

(3)(a)
If a consumer wishes to allow the consumer’s consumer report to be accessed for
a specific period of time while a security freeze is in effect, the consumer
shall contact the consumer reporting agency using a point of contact the
consumer reporting agency designates, request that the security freeze be
temporarily lifted and provide the following:

(A)
Proper identification;

(B)
The unique personal identification number or password or similar device the
consumer reporting agency provided under subsection (2) of this section;

(C)
An indication of the period of time during which the consumer report must be
available to users of the consumer report; and

(D)
A fee, if applicable.

(b)
A protective record is not subject to a temporary lift of a security freeze.

(c)
Except as provided in ORS 646A.612 (2)(a), a consumer report for a protected
consumer is not subject to a temporary lift of a security freeze.

(4)
A consumer reporting agency that receives a request from the consumer to
temporarily lift a security freeze on a consumer report, other than a consumer
report for a protected consumer, under subsection (3) of this section shall
comply with the request not later than three business days after receiving from
the consumer:

(a)
Proper identification;

(b)
The unique personal identification number or password or similar device the
consumer reporting agency provided under subsection (2) of this section;

(c)
An indication of the period of time during which the consumer report must be
available to users of the consumer report; and

(d)
A fee, if applicable.

(5)(a)
A security freeze for a consumer report must remain in place until the consumer
requests, using a point of contact the consumer reporting agency designates,
that the security freeze be removed. A consumer reporting agency shall remove a
security freeze within three business days after receiving a request for
removal from the consumer, who provides:

(A)
Proper identification;

(B)
The unique personal identification number or password or similar device the
consumer reporting agency provided under subsection (2) of this section; and

(C)
A fee, if applicable.

(b)
A security freeze for a protective record must remain in place until the
protected consumer or a representative requests, using a point of contact the
consumer reporting agency designates, that the security freeze be removed or
that the protective record be deleted. The consumer reporting agency does not
have an affirmative duty to notify the protected consumer or the representative
that a security freeze is in place or to remove the security freeze or delete
the protective record once the protected consumer is no longer a protected
consumer. A protected consumer or a representative has the affirmative duty to
request that the consumer reporting agency remove the security freeze or delete
the protective record. A consumer reporting agency shall remove a security
freeze or delete a protective record within 30 business days after receiving a
request for removal or deletion from the protected consumer or a
representative, who provides:

(A)
Proper identification;

(B)
Sufficient proof of authority, as described in ORS 646A.606 (3)(b), if the
representative seeks to remove the security freeze or delete the protective
record;

(C)
Proof that the representative’s authority to act on the protected consumer’s
behalf is no longer valid or applicable, if the protected consumer seeks to
remove the security freeze or delete the protective record; and

(D)
A fee, if applicable. [2007 c.759 §5; 2013 c.415 §3]

646A.610
Permissible fees.
(1) A consumer reporting agency may not charge a fee to a consumer or a
protected consumer who is the victim of identity theft or to a consumer who has
reported or a protected consumer for whom a representative has reported to a
law enforcement agency the theft of personal information, provided the consumer
or the representative has submitted to the consumer reporting agency a copy of
a valid police report, incident report or identity theft declaration.

(2)(a)
A consumer reporting agency may charge a reasonable fee of not more than $10 to
a consumer, other than a consumer described in subsection (1) of this section,
for each placement of a security freeze, temporary lift of the security freeze,
removal of the security freeze or replacing a lost personal identification
number or password previously provided to the consumer.

(b)(A)
Except as provided in subsection (1) of this section and in subparagraph (B) of
this paragraph, a consumer reporting agency may charge a reasonable fee of not
more than $10 to place or remove a security freeze for a protected consumer’s
consumer report or protective record or to create or delete a protective record
for a protected consumer.

(B)
A consumer reporting agency may not charge a fee to place or remove a security
freeze on an existing consumer report or protective record for a protected
consumer who is under 16 years of age at the time a representative requests the
consumer reporting agency to place or remove the security freeze. [2007 c.759 §6;
2013 c.415 §4]

646A.612
Conditions for lifting or removing security freeze. (1)(a) A
consumer reporting agency shall temporarily lift or remove a security freeze
placed on a consumer report only if a consumer requests that the consumer
reporting agency lift or remove the security freeze for the consumer report in
accordance with ORS 646A.608.

(b)
A consumer reporting agency shall remove a security freeze from a protected
consumer’s consumer report or protective record or delete a protective record
only if the protected consumer or a representative requests that the consumer
reporting agency remove the security freeze from the consumer report or
protective record or delete the protective record in accordance with ORS
646A.608.

(2)(a)
A consumer reporting agency may temporarily lift or remove a security freeze
placed on a consumer report if the security freeze was placed because of a
consumer’s, a protected consumer’s or a representative’s material
misrepresentation of fact.

(b)
A consumer reporting agency may remove a security freeze from or delete a
protective record if the consumer reporting agency placed the security freeze
or created the protective record as a result of the protected consumer’s or the
representative’s material misrepresentation of fact.

(c)
If a consumer reporting agency intends to remove a security freeze or delete a
protective record under this subsection, the consumer reporting agency shall
notify the consumer, protected consumer or representative, as appropriate, in
writing at least five business days before removing the security freeze or
deleting the protective record. [2007 c.759 §7; 2013 c.415 §5]

646A.614
Effect of security freeze on use of consumer reports or protective records. (1) The
provisions of ORS 646A.606 to 646A.610 do not apply to the use of a consumer
report or a protective record by or for any of the following:

(a)
A person, or the person’s subsidiary, affiliate, agent or assignee with which
the consumer or protected consumer has or, prior to assignment, had an account,
contract or debtor-creditor relationship for the purposes of reviewing the
account or collecting the financial obligation owing for the account, contract
or debtor-creditor relationship. For purposes of this subsection, “reviewing
the account” includes activities related to account maintenance, monitoring,
credit line increases and account upgrades and enhancements.

(b)
Any person acting pursuant to a judgment, court order, warrant or subpoena.

(c)
A federal, state or local governmental entity, a law enforcement agency or
court, or an agent or assignee of the federal, state or local governmental
entity, law enforcement agency or court, for the purpose of investigating fraud
or investigating or collecting delinquent taxes, unpaid judgments or court
orders or acting otherwise to fulfill statutory or regulatory duties, if the
activities or statutory or regulatory duties are consistent with a permissible
purpose under section 604 of the federal Fair Credit Reporting Act (15 U.S.C.
1681b) as that Act existed on October 1, 2007.

(d)
The use of credit information for the purposes of prescreening in accordance
with the federal Fair Credit Reporting Act (15 U.S.C. 1681 et seq.) as that Act
existed on October 1, 2007.

(e)
Any person for the sole purpose of providing a credit file monitoring
subscription service, or similar service to which the consumer or protected
consumer has subscribed or to which a representative has subscribed on behalf
of the protected consumer.

(f)
A consumer reporting agency for the sole purpose of providing a consumer, a
protected consumer or a representative with a copy of the consumer’s or
protected consumer’s consumer report upon the consumer’s, protected consumer’s
or representative’s request.

(g)
Any person or entity for the purpose of setting or adjusting rates, for
handling claims or underwriting for insurance purposes, to the extent permitted
by law.

(h)
A subsidiary, affiliate, agent, assignee or prospective assignee of a person to
whom access has been granted under ORS 646A.608 (3) for purposes of
facilitating the extension of credit or other permissible use.

(i)
A child support agency acting pursuant to Title IV-D of the Social Security Act
(42 U.S.C. 651 et seq.) as that Act existed on October 1, 2007.

(j)
A person for the sole purpose of screening an applicant for a residential
dwelling unit as described in ORS 90.295 (1).

(2)
The provisions of ORS 646A.606 to 646A.610 do not apply to a protective record
used:

646A.616
Effect of request for consumer report subject to security freeze. If a third
party requests access to a consumer report on which a security freeze is in
effect, the request is in connection with an application for credit or any
other use, the consumer does not allow the consumer’s consumer report to be
accessed for that period of time, and the third party cannot obtain the
consumer report through ORS 646A.614, the third party may treat the application
as incomplete. [2007 c.759 §9]

646A.618
Prohibition on changes to consumer report subject to security freeze; entities
subject to requirement to place security freeze. (1) If a
security freeze is in place, a consumer reporting agency shall not change any
of the following official information in a consumer credit report without
sending a written confirmation of the change to the consumer within 30 days of
the change being posted to the consumer’s report: name, date of birth, Social
Security number and address. Written confirmation is not required for technical
modifications of a consumer’s official information, including name and street abbreviations,
complete spellings or transposition of numbers or letters. In the case of an
address change, the written confirmation shall be sent to both the new address
and to the former address.

(2)
The following entities are not required to place a security freeze on a credit
report:

(a)
A consumer reporting agency that acts only as a reseller of credit information
by assembling and merging information contained in the database of another
consumer reporting agency or multiple consumer reporting agencies, and does not
maintain a database of credit information from which new consumer credit
reports are produced. However, a consumer reporting agency acting as a reseller
shall honor any security freeze placed on a consumer report by another consumer
reporting agency.

(b)
A check services or fraud prevention services company that issues reports on
incidents of fraud or authorizations for the purpose of approving or processing
negotiable instruments, electronic funds transfers or similar methods of
payments.

(c)
A deposit account information service company that issues reports regarding
account closures due to fraud, substantial overdrafts, ATM abuse or similar
negative information regarding a consumer, to inquiring banks or other
financial institutions for use only in reviewing a consumer request for a
deposit account at the inquiring bank or financial institution. [2007 c.759 §10]

646A.620
Prohibition on printing, displaying or posting Social Security numbers;
exemptions.
(1) Except as otherwise specifically provided by law a person shall not:

(a)
Print a consumer’s Social Security number on any materials not requested by the
consumer or part of the documentation of a transaction or service requested by
the consumer that are mailed to the consumer unless redacted;

(b)
Print a consumer’s Social Security number on any card required for the consumer
to access products or services provided by the person; or

(c)
Publicly post or publicly display a consumer’s Social Security number unless
redacted. As used in this paragraph, “publicly post or publicly display” means
to communicate or otherwise make available to the public.

(2)
This section does not prevent the collection, use, or release of a Social
Security number as required by state or federal law, including statute, Oregon
Rules of Civil Procedure or rule adopted by the Chief Justice of the Supreme
Court, the Chief Judge of the Court of Appeals or the judge of the Oregon Tax
Court, or the use or printing of a Social Security number for internal
verification or administrative purposes or for enforcement of a judgment or
court order.

(3)
This section does not apply to records that are required by state or federal
law, including statute, Oregon Rules of Civil Procedure or rule adopted by the
Chief Justice of the Supreme Court, the Chief Judge of the Court of Appeals or
the judge of the Oregon Tax Court, to be made available to the public.

(4)
This section does not apply to a Social Security number in any of the following
records or copies of records in any form or storage medium maintained or
otherwise possessed by a court, the State Court Administrator or the Secretary
of State:

(a)
A record received on or before October 1, 2007;

(b)
A record received after October 1, 2007, if, by state or federal statute or
rule, the person that submitted the record could have caused the record to be
filed or maintained in a manner that protected the Social Security number from
public disclosure; or

(c)
A record, regardless of the date created or received, that is:

(A)
An accusatory instrument charging a violation or crime;

(B)
A record of oral proceedings in a court;

(C)
An exhibit offered as evidence in a proceeding; or

(D)
A judgment or court order. [2007 c.759 §11]

646A.622
Requirement to develop safeguards for personal information; conduct deemed to
comply with requirement. (1) Any person that owns, maintains or otherwise
possesses data that includes a consumer’s personal information that is used in
the course of the person’s business, vocation, occupation or volunteer
activities must develop, implement and maintain reasonable safeguards to
protect the security, confidentiality and integrity of the personal
information, including disposal of the data.

(2)
The following shall be deemed in compliance with subsection (1) of this
section:

(a)
A person that complies with a state or federal law providing greater protection
to personal information than that provided by this section.

(b)
A person that is subject to and complies with regulations promulgated pursuant
to Title V of the Gramm-Leach-Bliley Act of 1999 (15 U.S.C. 6801 to 6809) as
that Act existed on October 1, 2007.

(c)
A person that is subject to and complies with regulations implementing the
Health Insurance Portability and Accountability Act of 1996 (45 C.F.R. parts
160 and 164) as that Act existed on October 1, 2007.

(d)
A person that implements an information security program that includes the
following:

(A)
Administrative safeguards such as the following, in which the person:

(i)
Designates one or more employees to coordinate the security program;

(ii)
Identifies reasonably foreseeable internal and external risks;

(iii)
Assesses the sufficiency of safeguards in place to control the identified
risks;

(iv)
Trains and manages employees in the security program practices and procedures;

(v)
Selects service providers capable of maintaining appropriate safeguards, and
requires those safeguards by contract; and

(vi)
Adjusts the security program in light of business changes or new circumstances;

(iii)
Detects, prevents and responds to attacks or system failures; and

(iv)
Regularly tests and monitors the effectiveness of key controls, systems and
procedures; and

(C)
Physical safeguards such as the following, in which the person:

(i)
Assesses risks of information storage and disposal;

(ii)
Detects, prevents and responds to intrusions;

(iii)
Protects against unauthorized access to or use of personal information during
or after the collection, transportation and destruction or disposal of the
information; and

(iv)
Disposes of personal information after it is no longer needed for business
purposes or as required by local, state or federal law by burning, pulverizing,
shredding or modifying a physical record and by destroying or erasing
electronic media so that the information cannot be read or reconstructed.

(3)
A person complies with subsection (2)(d)(C)(iv) of this section if the person
contracts with another person engaged in the business of record destruction to
dispose of personal information in a manner consistent with subsection
(2)(d)(C)(iv) of this section.

(4)
Notwithstanding subsection (2) of this section, a person that is an owner of a
small business as defined in ORS 285B.123 (2) complies with subsection (1) of
this section if the person’s information security and disposal program contains
administrative, technical and physical safeguards and disposal measures
appropriate to the size and complexity of the small business, the nature and
scope of its activities, and the sensitivity of the personal information
collected from or about consumers. [2007 c.759 §12]

646A.624
Powers of director; penalties. (1) The Director of the Department of
Consumer and Business Services may:

(a)
Make such public or private investigations within or outside this state as the
director deems necessary to determine whether a person has violated any
provision of ORS 646A.600 to 646A.628, or to aid in the enforcement of ORS
646A.600 to 646A.628.

(b)
Require or permit a person to file a statement in writing, under oath or
otherwise as the director determines, as to all the facts and circumstances
concerning the matter to be investigated.

(c)
Administer oaths and affirmations, subpoena witnesses, compel attendance, take
evidence and require the production of books, papers, correspondence,
memoranda, agreements or other documents or records that the director deems
relevant or material to the inquiry. Each witness who appears before the
director under a subpoena shall receive the fees and mileage provided for
witnesses in ORS 44.415 (2).

(2)
If a person fails to comply with a subpoena so issued or a party or witness
refuses to testify on any matters, the judge of the circuit court or of any
county, on the application of the director, shall compel obedience by
proceedings for contempt as in the case of disobedience of the requirements of
a subpoena issued from such court or a refusal to testify therein.

(3)
If the director has reason to believe that any person has engaged or is
engaging in any violation of ORS 646A.600 to 646A.628, the director may issue
an order, subject to ORS chapter 183, directed to the person to cease and
desist from the violation, or require the person to pay compensation to
consumers injured by the violation. The director may order compensation to
consumers only upon a finding that enforcement of the rights of the consumers
by private civil action would be so burdensome or expensive as to be
impractical.

(4)(a)
In addition to all other penalties and enforcement provisions provided by law,
any person who violates or who procures, aids or abets in the violation of ORS
646A.600 to 646A.628 shall be subject to a penalty of not more than $1,000 for
every violation, which shall be paid to the General Fund of the State Treasury.

(b)
Every violation is a separate offense and, in the case of a continuing
violation, each day’s continuance is a separate violation, but the maximum
penalty for any occurrence shall not exceed $500,000.

646A.626
Rules.
In accordance with ORS chapter 183, the Director of the Department of Consumer
and Business Services may adopt rules for the purpose of carrying out the
provisions of ORS 646A.600 to 646A.628. [2007 c.759 §14]

646A.628
Allocation of moneys.
Notwithstanding ORS 705.145 (2), (3) and (5), the Director of the Department of
Consumer and Business Services can allocate as deemed appropriate the moneys
derived pursuant to ORS 86A.095 to 86A.198, 86A.990, 86A.992, 650.005 to
650.100, 697.005 to 697.095, 697.602 to 697.842, 705.350 and 717.200 to 717.320
and 731.804 and ORS chapters 59, 645, 706 to 716, 723, 725 and 726 to implement
ORS 646A.600 to 646A.628. [2007 c.759 §15; 2009 c.541 §23; 2009 c.604 §24]

MORTGAGE
RESCUE FRAUD PREVENTION ACT

(Foreclosure
Consultants)

646A.700
Short title.
ORS 646A.702 to 646A.720 and 646A.725 to 646A.750 may be cited as the Mortgage
Rescue Fraud Protection Act. [2008 c.19 §1]

646A.702
Definitions for ORS 646A.702 to 646A.720. As used in ORS 646A.702 to
646A.720:

(1)
“Default” means having one or more homeowner obligations in arrears to an
extent that a notice of default could properly be recorded against the
residence.

(3)
“Foreclosure consultant,” except as provided in ORS 646A.705, means a person
that directly or through association with another makes a solicitation,
representation or offer to a homeowner to perform, for or with the intent to
receive compensation from or on behalf of the homeowner, a service that the
solicitation, representation or offer indicates will accomplish one or more of
the following:

(a)
Prevent, postpone or stop a foreclosure sale.

(b)
Obtain a forbearance from a beneficiary or mortgagee.

(c)
Assist the homeowner in exercising a right of redemption.

(d)
Obtain an extension of the period within which the homeowner may reinstate the
homeowner’s obligation.

(e)
Obtain the waiver of an acceleration clause that is:

(A)
Contained in a promissory note or contract; and

(B)
Secured by or contained in a deed of trust for, or mortgage on, a residence in
foreclosure or in default.

(f)
Assist the homeowner in obtaining a loan or advance of funds.

(g)
Avoid or ameliorate an impairment of the homeowner’s credit resulting from a
recorded notice of foreclosure or default.

(4)
“Foreclosure consulting contract” means an agreement between a foreclosure
consultant and a homeowner for the provision of services by a foreclosure consultant
in regard to a residence in foreclosure or in default.

(5)
“Homeowner” means the record owner of a residence.

(6)
“Residence in foreclosure” means residential real property:

(a)
Consisting of one to four single-family dwelling units;

(b)
On which the owner occupies a dwelling unit; and

(c)
Against which a notice of default has been recorded. [2008 c.19 §2]

646A.705
Persons that are not foreclosure consultants. The following are not
foreclosure consultants for purposes of ORS 646A.702 to 646A.720:

(1)
An individual licensed to practice law in this state, if performing services
within an attorney-client relationship.

(2)
A person that holds or is owed an obligation that is secured by a lien on a
residence in foreclosure or default, if performing services in connection with
the obligation or lien.

(3)
A person doing business under authority of an Oregon or federal law regulating
banks, trust companies, savings and loan associations, credit unions or
insurance companies, or as a licensee under ORS chapter 725, if performing
business services within the scope of that authority or license.

(4)
A subsidiary, affiliate or agent of a person described in subsection (3) of
this section, if performing business services within the scope of the person’s
authority or license as the person’s subsidiary, affiliate or agent.

(5)
The judgment creditor of a homeowner, if the creditor’s claim accrued before a
notice of sale was sent to the creditor under ORS 86.764.

(6)
A title insurer authorized to conduct business in Oregon or an insurance
producer licensed to conduct business in Oregon, if performing title insurance
or settlement services within the scope of that authority or license.

(7)
A mortgage broker or mortgage lender licensed under ORS 86A.095 to 86A.198 to
conduct business in Oregon, if acting within the scope of that license.

(8)
A real estate licensee under ORS 696.022 or an escrow agent licensed under ORS
696.511, if acting within the scope of that license.

(9)
A tax-exempt organization that offers counseling or advice to homeowners in
foreclosure, if the organization:

(a)
Is not directly or indirectly related to for-profit lenders or foreclosure
purchasers;

(b)
Does not contract to provide services to or receive services from for-profit
lenders or foreclosure purchasers; and

(c)
Has provided counseling or advice to homeowners for five years or more.

(10)
A creditors’ committee, trustee or debtor in possession participating in a
proceeding under the jurisdiction of the United States Bankruptcy Court.

(11)
Any person whose employment with regard to a residential real property matter
under the jurisdiction of the United States Bankruptcy Court is approved by
order of the bankruptcy court.

(12)
A person that is a member of the homeowner’s family or is owned or controlled
by a member of the homeowner’s family. [2008 c.19 §3; 2011 c.9 §83]

646A.710
Foreclosure consulting contract; requirements; void provisions. (1) A written
foreclosure consulting contract is required for any services that a foreclosure
consultant provides to a homeowner. A foreclosure consultant shall provide a
homeowner with a copy of the foreclosure consulting contract at least 24 hours
before the homeowner signs the contract. The foreclosure consulting contract
must:

(a)
Be written in a language that is spoken by the homeowner and that was used in
discussions between the homeowner and foreclosure consultant to describe the
foreclosure consultant’s services or to negotiate the contract and, except as
provided in paragraph (f) of this subsection, be printed in at least 12-point
type.

(b)
Fully disclose the nature and extent of the services the foreclosure consultant
is to provide.

(c)
Fully disclose the terms and total amount of any compensation the foreclosure
consultant or a person working in association with the foreclosure consultant
is to receive.

(d)
Be dated and personally signed by the homeowner and the foreclosure consultant.

(e)
Contain on the first page the name and address, facsimile number and electronic
mail address of the foreclosure consultant to which a notice of cancellation
may be delivered.

(f)
Contain, in immediate proximity to the space reserved for the homeowner’s signature,
a notice in substantially the following form and printed in at least 14-point
boldfaced type:

THIS
IS AN IMPORTANT LEGAL CONTRACT AND COULD RESULT IN THE LOSS OF YOUR HOME. YOU
SHOULD CONTACT A LAWYER OR OTHER PROFESSIONAL ADVISER BEFORE SIGNING.

YOU
MAY CANCEL THIS CONTRACT AT ANY TIME.

If
you cancel, you must pay for any services that were provided under this
contract before the cancellation and repay any money spent on your behalf under
this contract. You have 60 days after cancellation to pay for services and to
repay any money spent on your behalf. You must also pay any interest allowed by
this contract, which may not exceed nine percent per year.

________(name
of foreclosure consultant) or any person working with ________ (name of
foreclosure consultant) CANNOT ask you to sign or have you sign any lien,
mortgage or deed that transfers an interest in your home or property to ________
(name of foreclosure consultant) or any person working with ________ (name of
foreclosure consultant).

________(name
of foreclosure consultant) or any person working with ________ (name of
foreclosure consultant) CANNOT guarantee you that they will be able to
refinance your home or arrange for you to keep your home.

The
law requires that this contract contain the entire agreement. You should not
rely on any other written or oral agreement or promise.

(2)
A foreclosure consulting contract provision is void if the provision provides
for the homeowner to:

(a)
Waive any rights of the homeowner under ORS 646A.702 to 646A.720;

(b)
Consent to jurisdiction for litigation or dispute resolution in a state other
than Oregon;

(c)
Consent to a choice of laws provision that applies the laws of a state other
than Oregon;

(d)
Consent to venue in a county other than the county in which the residence in
foreclosure or default is located; or

(e)
Pay any costs or fees incurred by the foreclosure consultant to enforce the
contract, other than court costs and filing fees incurred in a successful
circuit court action. [2008 c.19 §4]

646A.715
Cancellation; effective date; payment for services provided before cancellation
or breach; form; sufficiency of notice. (1) In addition to any other
cancellation or rescission right, a homeowner may cancel a foreclosure
consulting contract as provided under this section at any time.

(2)
Cancellation under this section occurs when the homeowner gives written notice
of cancellation to the foreclosure consultant:

(a)
At a physical address specified in the foreclosure consulting contract; or

(b)
At a facsimile number or electronic mail address specified in the foreclosure
consulting contract.

(3)(a)
If the homeowner gives written notice of cancellation under this section by
mail, the notice is effective when deposited in the United States mail with the
proper address and postage.

(b)
If the homeowner gives written notice of cancellation under this section by
facsimile or electronic mail, the notice is effective upon receipt. Proof of a
transmission by the homeowner to the facsimile number or electronic mail
address specified in the foreclosure consulting contract creates a rebuttable
presumption that the foreclosure consultant received the notice at the time of
the transmission.

(4)
A homeowner who cancels or breaches a foreclosure consulting contract under
this section shall, no later than 60 days after the cancellation or breach, pay
for any services performed in good faith under the contract by or on behalf of
the foreclosure consultant prior to the cancellation or breach and repay any
moneys paid or advanced under the contract by or on behalf of the foreclosure
consultant. The homeowner shall also pay any interest allowed by the
foreclosure consulting contract, not to exceed nine percent per year.

(5)
Failure of the homeowner to repay moneys as provided in subsection (4) of this
section does not invalidate the cancellation of the foreclosure consulting
contract.

(6)
When both parties have signed the foreclosure consulting contract, the
foreclosure consultant shall immediately provide the homeowner with a signed
and dated copy of the contract and a cancellation form. The cancellation form
must:

(a)
Be in duplicate;

(b)
Be on a separate sheet of paper attached to the foreclosure consulting
contract;

(c)
Be easily detachable; and

(d)
Contain a statement in substantially the following form and printed in at least
14-point boldfaced type:

To
cancel the contract, mail or deliver a signed and dated copy of this Notice of
Cancellation, or write something saying you want to cancel, and send it to _________
(name of foreclosure consultant) at _________ (address of foreclosure
consultant). You can cancel by fax or e-mail. Send any cancellation by fax to _________
or any cancellation by e-mail to_________.

If
you cancel, you must pay for any services that were provided under the contract
before the cancellation and repay any money spent on your behalf under the
contract. You have 60 days after cancellation to pay for services and to repay
any money spent on your behalf. You must also pay any interest allowed under
the contract, which may not exceed nine percent per year.

(7)
A written notice of cancellation under this section is sufficient, however
expressed, if the notice indicates the intent of the homeowner to cancel the
foreclosure consulting contract. The contract may not require the homeowner to
use the notice of cancellation form set forth in subsection (6) of this
section. [2008 c.19 §5]

(1)
Claim, demand, charge, collect or receive any compensation from a homeowner
unless the foreclosure consultant has performed in good faith under the
contract:

(a)
Each service the foreclosure consultant contracted to perform for the
homeowner; or

(b)
Each service to be compensated, prior to the homeowner canceling or breaching
the contract.

(2)
Claim, demand, charge, collect or receive interest or other compensation that
exceeds nine percent per year on any services performed, any loan by the
foreclosure consultant to the homeowner or any moneys paid or advanced to the
homeowner under the foreclosure consulting contract.

(3)
Take a wage assignment, lien on real or personal property or other security for
the payment of compensation.

(4)
Receive consideration from a third party in connection with services provided
by a foreclosure consultant to a homeowner, unless the consideration is first
fully disclosed in writing to the homeowner.

(5)
Directly or indirectly acquire an interest in a residence in foreclosure or default
transferred by a homeowner with whom the foreclosure consultant has contracted,
including any interest transferred to or through a member of the foreclosure
consultant’s family or to or through a subsidiary, affiliate or related entity
in which the foreclosure consultant or a member of the foreclosure consultant’s
family is a primary member, shareholder or owner.

(6)
Receive compensation from a third party for facilitating or arranging for entry
into an equity conveyance as defined in ORS 646A.725 by a homeowner with whom
the foreclosure consultant has contracted.

(7)
Facilitate or arrange for entry into an equity conveyance as defined in ORS
646A.725 by a homeowner with whom the foreclosure consultant has contracted, if
the foreclosure consultant knows or should know that the equity purchaser has
failed to comply with ORS 646A.735 (1).

(8)
Take a power of attorney from a homeowner except for the purpose of obtaining
or inspecting documents.

(9)
Induce or attempt to induce any homeowner to enter into a foreclosure
consulting contract that does not comply in all respects with ORS 646A.702 to
646A.720.

(10)
Directly or by implication make a statement or engage in conduct that is false,
deceptive, misleading or likely to cause confusion or misunderstanding
regarding a:

(a)
Foreclosure consultant service;

(b)
Foreclosure consulting contract; or

(c)
Residence in foreclosure or default. [2008 c.19 §6]

(Equity
Conveyances)

646A.725
Definitions for ORS 646A.725 to 646A.750. As used in ORS 646A.725 to
646A.750:

(c)
Without knowledge of any continuing right to, or equity in, the property by the
equity seller; and

(d)
Without knowledge of any violation of ORS 646A.725 to 646A.750 by the equity
purchaser regarding the property.

(2)
“Business day” does not mean a Saturday or a legal holiday described in ORS
187.010 or 187.020.

(3)
“Equity conveyance”:

(a)
Means a transaction that involves:

(A)
The transfer of an interest in a residence in foreclosure by an equity seller
to an equity purchaser, or to another person acting in association with the
equity purchaser, that allows the equity purchaser or other person to obtain
legal or equitable title to all or part of the residential real property; and

(B)
A subsequent conveyance, or agreement for a subsequent conveyance, of an
interest in the residential real property from the equity purchaser or person
acting in association with the equity purchaser to the equity seller to allow
the equity seller to possess the property during, or after termination of, the
foreclosure process.

(b)
Does not mean a transfer of interest by means of a nonjudicial foreclosure sale
or by means of a sheriff’s sale or other judicial foreclosure action.

(4)
“Equity conveyance contract” means a written contract between an equity seller
and an equity purchaser that contains an agreement for an equity conveyance.

(5)
“Equity purchaser,” except as provided in ORS 646A.730, means a person that
enters into an equity conveyance that transfers to the person, or to another
acting in association with the person, an interest in residential real property
sufficient to allow obtaining legal or equitable title to all or part of the
property.

(6)
“Equity recapture payment” means the resale price for a property, less the
following:

(a)
Amounts owing as of the closing of the resale for liens or other encumbrances
created or suffered by the equity seller.

(b)
Amounts paid after the transfer of interest in the property by the equity
seller and before the closing of the resale on liens or other encumbrances
created or suffered by the equity seller.

(c)
Cash received by the equity seller from the equity purchaser under the equity
conveyance contract.

(d)
Title, escrow and other customary closing costs incurred by the equity
purchaser under the equity conveyance contract or because of the resale.

(e)
Real estate commissions and charges incurred by the equity purchaser under the
equity conveyance contract or because of the resale.

(f)
Charges for prorated taxes and homeowner association dues, attributable to a
period of time prior to the transfer of interest in the property by the equity
seller.

(g)
Attorney fees incurred by the equity purchaser under the equity conveyance
contract or because of the resale.

(h)
Reimbursement of actual repair and maintenance expenses.

(i)
Reimbursement for the construction of improvements to the property.

(7)
“Equity seller” means a natural person who is the record owner of a residence
in foreclosure at the time an interest in the residence is transferred under an
equity conveyance to an equity purchaser or to a person acting in association
with an equity purchaser.

(a)
Is a licensed escrow agent, title insurance agent or attorney; and

(b)
Is not the equity purchaser or an employee or associate of the equity
purchaser.

(13)
“Settlement conference” means an in-person meeting between an equity seller and
a settlement agent:

(a)
For the purpose of completing documents incident to the transfer of an interest
as part of an equity conveyance; and

(b)
During which the settlement agent provides the equity seller with the HUD-1
settlement statement used by the United States Department of Housing and Urban
Development. [2008 c.19 §9]

646A.730
Persons that are not equity purchasers. The following are not equity purchasers
for purposes of ORS 646A.725 to 646A.750:

(1)
A party to a deed in lieu of foreclosure.

(2)
A creditors’ committee, trustee or debtor in possession participating in a
proceeding under the jurisdiction of the United States Bankruptcy Court.

(3)
Any person whose employment with regard to a residential real property matter
under the jurisdiction of the United States Bankruptcy Court is approved by
order of the bankruptcy court.

(4)
A family or living trust in which the equity seller is the beneficiary or a
member of the beneficiary. [2008 c.19 §10]

646A.735
Written contract; requirements; void provisions; power of attorney prohibited. (1) A written
contract is required for every equity conveyance. An equity purchaser shall
provide an equity seller with a copy of the equity conveyance contract at least
24 hours before the equity seller signs the contract. The equity conveyance
contract must:

(a)
Be written in a language that is spoken by the equity seller and that was used
in discussions between the equity seller and equity purchaser to describe the
equity purchaser’s services or to negotiate the terms of the contract and,
except as provided in paragraph (f) of this subsection, be printed in at least
12-point type;

(b)
Contain the entire agreement of the parties;

(c)
Be dated and personally signed by the equity seller and the equity purchaser
and witnessed by a notary public;

(d)
Contain on the first page the name and address, facsimile number and electronic
mail address of the settlement agent to which a notice of cancellation may be
delivered;

(e)
Describe in detail the terms of the equity conveyance including:

(A)
The name and business address, and any telephone number, facsimile number and
electronic mail address, of the person to whom the equity seller will transfer
an interest in the residence in foreclosure;

(B)
The address of the residence in foreclosure;

(C)
The total consideration the equity purchaser and any other party are to give as
a result of the transfer of interest;

(D)
The time at which the interest is to be transferred to the equity purchaser or other
person and the terms of the transfer;

(E)
Any financial or legal obligations that the equity seller may remain subject
to, including a description of any mortgages, liens or other obligations that
will remain in place;

(F)
Any services the equity purchaser will perform for the equity seller before or
after the transfer of interest;

(G)(i)
The terms of any post-transfer conveyance or agreement for a conveyance to the
equity seller to allow the equity seller to remain in the home, including but
not limited to the terms of any rental agreement, repurchase agreement,
contract for deed, land installment contract or option to buy; and

(ii)
Any provisions for eviction or removal of the equity seller in the case of late
payment;

(H)
An explanation of how any repurchase price or fee associated with any
conveyance of title or deed back to the equity seller will be calculated; and

(I)
An explanation of the percentage of any equity recapture payment the equity
seller is to receive if the equity seller does not exercise a right to receive
back a conveyance of title or deed; and

(f)
Contain, in immediate proximity to the space reserved for the equity seller’s
signature, a notice in substantially the following form and printed in at least
14-point boldfaced type:

THIS
IS AN IMPORTANT LEGAL CONTRACT. YOU ARE TRANSFERRING YOUR DEED OR TITLE AND
THIS COULD RESULT IN THE PERMANENT LOSS OF YOUR HOME. CONTACT A LAWYER OR OTHER
PROFESSIONAL ADVISER BEFORE SIGNING.

YOU
MAY CANCEL THIS CONTRACT WITHIN THREE (3) BUSINESS DAYS.

If
you cancel, you must pay for services that were provided under this contract
before cancellation and repay any money spent on your behalf under this
contract. You have 60 days after cancellation to pay for the services and repay
any money spent on your behalf. You must also pay any interest allowed by this
contract, which may not exceed nine percent per year.

The
law requires that this contract contain the entire agreement. You should not
rely on any other written or oral agreement or promise.

(2)
An equity conveyance contract provision is void if the provision provides for
an equity seller to:

(a)
Waive any rights of the equity seller under ORS 646A.725 to 646A.750;

(b)
Consent to jurisdiction for litigation or dispute resolution in a state other
than Oregon;

(c)
Consent to a choice of laws provision that applies the laws of a state other
than Oregon;

(d)
Consent to venue in a county other than the county in which the residential
real property is located; or

(e)
Pay any costs or fees that the equity purchaser or a person acting in
association with the equity purchaser incurred to enforce the contract, other
than court costs and filing fees incurred in a successful circuit court action.

(3)
An equity conveyance may not be carried out using a power of attorney from the
equity seller to the equity purchaser or a person acting in association with
the equity purchaser. [2008 c.19 §11]

646A.740
Cancellation; effective date; rebuttable presumption of delivery; payment for
services; form; sufficiency of notice; return of documents. (1) In addition
to any other cancellation or rescission right, an equity seller may cancel an
equity conveyance contract as provided under this section before the earlier
of:

(a)
Midnight of the third business day after the equity seller signs a document
purporting to transfer an interest in the residence in foreclosure; or

(b)
A foreclosure sale of the residence in foreclosure.

(2)
If the equity seller gives a written notice of cancellation under this section
by mail, the notice is effective upon the earlier of:

(a)
Delivery to the physical address of the equity purchaser or settlement agent;
or

(b)
Actual receipt by the equity purchaser or settlement agent.

(3)
If the equity seller gives a written notice of cancellation under this section
by facsimile number or electronic mail, the notice is effective upon the
earlier of:

(a)
Delivery to the facsimile or electronic mail address of the equity purchaser or
the settlement agent; or

(b)
Actual receipt by the equity purchaser or settlement agent.

(4)
Proof of a transmission by the equity seller to the facsimile number or
electronic mail address of the equity purchaser or of the settlement agent
creates a rebuttable presumption that the notice of cancellation was delivered
to the facsimile number or electronic mail address of the equity purchaser or
settlement agent at the time of transmission.

(5)
An equity seller who cancels or breaches an equity conveyance contract under
this section shall, no later than 60 days after the cancellation or breach, pay
for any services provided in good faith under the contact prior to the
cancellation or breach and repay any moneys paid or advanced under the contract
by or on behalf of the equity purchaser. The equity seller shall also pay any
interest stated in the equity conveyance contract, not to exceed nine percent
per year.

(6)
Failure of the equity seller to repay moneys as provided in subsection (5) of
this section does not invalidate the cancellation of the equity conveyance
contract.

(7)
When both parties have signed the equity conveyance contract, the equity
purchaser shall immediately provide the equity seller with a signed and dated
copy of the contract and a cancellation form. The cancellation form must:

(a)
Be in duplicate;

(b)
Be on a separate sheet of paper attached to the contract;

(c)
Be easily detachable; and

(d)
Contain a statement in substantially the following form and be printed in at
least 14-point boldfaced type:

IF
YOU DECIDE NOT TO TRANSFER YOUR DEED OR TITLE, YOU MAY CANCEL THIS CONTRACT.

THE
NOTICE OF CANCELLATION MUST BE RECEIVED WITHIN THREE (3) BUSINESS DAYS AFTER
YOU SIGNED THE CONTRACT.

Date
of Contract: _____

Your
notice of cancellation must be received before midnight on: _____ (date).

To
cancel the contract, deliver a signed and dated copy of this Notice of
Cancellation, or write something saying you want to cancel, and deliver it to _________
(name of settlement agent) at _________ (address of settlement agent). You
can cancel by fax or e-mail. Deliver any cancellation by fax to _________ or
any cancellation by e-mail to_________.

If
you cancel, you must pay for any services that were provided under the contract
before you canceled and repay any money spent on your behalf under the
contract. You have 60 days after cancellation to pay for the services and repay
any money spent on your behalf. You must also pay any interest allowed under
the contract, which may not exceed nine percent per year.

(8)
Notwithstanding subsection (1)(a) of this section, the period during which the
equity seller may cancel the equity conveyance contract does not commence until
the equity purchaser has complied with subsection (7) of this section.

(9)
A notice of cancellation under this section is sufficient, however expressed,
if the notice indicates the intent of the equity seller to cancel the equity
conveyance contract. The equity conveyance contract may not require the equity
seller to use the notice of cancellation form described in subsection (7) of
this section.

(10)
No later than 10 days after receipt of a notice of cancellation given in
accordance with this section, the equity purchaser shall return, without
condition, any original deed, title and contract, and any other document of
transfer signed by the equity seller. [2008 c.19 §12]

646A.745
Required and prohibited acts. (1) An equity purchaser shall:

(a)
Prior to an equity seller signing an equity conveyance contract:

(A)
Verify and be able to demonstrate that the equity seller has or will have a
reasonable ability to pay for the subsequent reconveyance of the residential
real property interest back to the equity seller as provided under the equity
conveyance contract; or

(B)
If the equity conveyance contract provides for a lease with an option to
repurchase the residential real property, verify and be able to demonstrate
that the equity seller has or will have a reasonable ability to make the lease
payments and repurchase the property within the term of the option to
repurchase.

(b)
Arrange for the equity seller and the settlement agent to complete a settlement
conference before the equity seller transfers any interest under the equity
conveyance contract.

(c)
Comply with the requirements of the federal Home Ownership and Equity
Protection Act (15 U.S.C. 1639) and its implementing regulations for any equity
conveyance in which the equity seller obtains a vendee interest in a contract
for deed.

(d)
Ensure that title to, or other interest in, the residential real property is
timely reconveyed to the equity seller as provided under the terms of the
equity conveyance contract.

(e)
If a residential real property is resold within 24 months after the equity
seller enters into an equity conveyance contract, pay the equity seller cash or
consideration in an amount equal to at least 82 percent of the equity recapture
payment from the resale no later than 15 days after the receipt of cash or
consideration from or on behalf of the purchasers of the property.

(f)
Timely record the memorandum of agreement required by ORS 646A.750.

(2)
An equity purchaser may not:

(a)
As part of an equity conveyance contract, enter into repurchase or lease terms
that are commercially unreasonable or unfair to an equity seller, or engage in
any other unfair conduct.

(b)
Represent, directly or indirectly, that the equity purchaser is acting as a
financial adviser or foreclosure consultant to the equity seller or otherwise
is acting on behalf of the equity seller.

(c)
Make a false representation regarding the equity purchaser’s possession of
professional credentials that indicate knowledge or expertise regarding real
property transactions.

(d)
Represent, directly or indirectly, that the equity purchaser is assisting the
equity seller in preventing a foreclosure, if the equity conveyance contract
does not provide for the equity seller to completely redeem the residential
real property and regain title.

(e)
Directly or by implication make a statement or engage in conduct that is false,
deceptive, misleading or likely to cause confusion or misunderstanding
regarding an equity conveyance, including but not limited to a statement or
conduct with regard to:

(A)
The value of a residence in foreclosure;

(B)
The amount of proceeds the equity seller would receive after a foreclosure
sale;

(C)
An equity conveyance contract term; or

(D)
The equity seller’s rights or obligations incident to or arising out of the
equity conveyance.

(f)
Before the equity seller’s right to cancel an equity conveyance contract has
expired:

(A)
Record or cause to be recorded an instrument of conveyance or other document
the equity seller signed;

(B)
Transfer or purport to transfer any interest in the residential real property
to any third party; or

(C)
Encumber or purport to encumber any interest in the residential real property
with any third party. [2008 c.19 §13]

(a)
An equity seller has or will have a reasonable ability to pay for a subsequent
reconveyance of a residential real property if, on the date the equity seller
signs the equity conveyance contract, the monthly payments projected for the
equity seller’s primary housing expenses under the contract and monthly
payments for regular principal and interest payments on other personal debt do
not, in total, exceed 60 percent of the equity seller’s monthly gross income.

(b)
The equity purchaser has failed to verify that the equity seller has a
reasonable ability to pay for a subsequent reconveyance of a property if the
equity purchaser has not obtained supporting documents other than a statement
by the equity seller of assets, liabilities and income.

(2)
If a property is resold within 24 months after an equity seller enters into an
equity conveyance contract, at the time of making the equity recapture payment
to the equity seller under ORS 646A.745 (1)(e), the equity purchaser shall
provide the equity seller with a detailed accounting of the basis for the
payment amount. The accounting shall include detailed documentation of the
amounts subtracted by the equity purchaser from the resale price to determine
the amount of the equity recapture payment.

(3)
A bona fide purchaser that enters into a transaction with an equity seller or
equity purchaser receives good title to the property, free and clear of:

(a)
The rights of the parties to an equity conveyance contract or a memorandum of
agreement; or

(b)
Any cancellation of the equity conveyance contract.

(4)
ORS 646A.725 to 646A.750 do not impose a duty on a property purchaser,
settlement agent, title insurer or title insurance producer regarding the
application of the proceeds of a resale of property by an equity purchaser.

(5)
At the time of presenting an equity conveyance for recording, the equity
purchaser shall present a memorandum of agreement for recording in the county
where the residential real property is located. The memorandum of agreement
must be signed by the equity purchaser and the equity seller, witnessed by a
notary public and in substantially the following form:

646A.755
Acts not precluded.
ORS 646A.725 to 646A.750 do not preclude an equity seller from:

(1)
Seeking to have a transfer of interest under an equity conveyance declared to
be an equitable mortgage; or

(2)
Asserting any claim against an equity purchaser for an equitable mortgage. [2008
c.19 §15]

646A.760
Civil action for damages; attorney fees and costs; limitation on commencement
of action.
(1) As used in this section, “equity seller” has the meaning given that term in
ORS 646A.725.

(2)
In addition to any action by the Attorney General under ORS 646.607 or any
other cause of action, an equity seller may bring an action for damages
incurred by the equity seller resulting from a violation of ORS 646A.725 to
646A.750.

(3)
If a court finds that a defendant in an action under this section committed a
violation of ORS 646A.725 to 646A.750 knowingly, in addition to any award of
damages for other violations of ORS 646A.725 to 646A.750, the court shall award
the equity seller three times the amount of the actual damages sustained by the
equity seller as a result of the knowing violation.

(4)
The court may award an equity seller prevailing in an action under this section
reasonable attorney fees, costs and expenses. If a court finds that an equity
seller brought an action under this section in bad faith or solely for purposes
of harassment, the court may award a prevailing defendant reasonable attorney
fees.

(5)
An action under this section must be commenced within six years. [2008 c.19 §17]

(Penalties)

646A.765
Penalties.
Violation of a provision of ORS 646A.702 to 646A.720 or 646A.725 to 646A.750 is
a Class A misdemeanor. [2008 c.19 §18; 2011 c.597 §260]

MISCELLANEOUS

646A.800
Late fees on delinquent cable service accounts; amount; disclosure; notice. (1) As used in
this section:

(a)
“Cable service” means:

(A)
One-way transmission to subscribers of a video programming service;

(B)
Two-way interactive service delivered over a cable system; or

(C)
Any communication with subscribers necessary for the selection and use of video
programming or interactive services.

(b)
“Cable system” means a facility consisting of closed transmission paths and
associated signal operation, reception and control equipment that is designed
to provide cable service.

(2)(a)
A seller of cable service may assess a late fee on delinquent subscriber
accounts held by the seller that have an unpaid balance of $10 or more.

(b)
A late fee assessed under subsections (2), (3) and (4) of this section shall
not exceed five percent of the unpaid balance or $6, whichever is greater.

(3)
The seller of cable service shall conspicuously disclose on each statement or
invoice the terms under which a late fee may be assessed, including the amount
of the fee.

(4)
Prior to assessing a late fee under subsections (2), (3) and (4) of this
section, the seller shall give written notice to the subscriber. The notice
shall conspicuously indicate the amount of the unpaid balance, an address where
payment may be made, the date on which the late fee will be imposed and the
amount of the late fee. The notice shall be mailed to the subscriber’s
last-known billing address as shown in the seller’s records. The notice shall
be mailed at least 10 days prior to the date on which the late fee will be
assessed. The late fee may not be assessed earlier than 27 days after the due
date for the unpaid balance. [Formerly 646.649]

646A.803
Contest and sweepstakes solicitations; required disclosures; prohibited
representations.
(1) As used in this section:

(a)
“Contest” means a procedure for awarding a prize in which the outcome depends
at least in part on the skill of the contestant. “Contest” includes any
competition in which a person is required to purchase anything, pay anything of
value or make a donation in order to participate. “Contest” also includes a
competition that is advertised in a way that creates a reasonable impression
that a payment of anything of value, purchase of anything or making a donation
is a condition of winning a prize or competing for or obtaining information
about a prize.

(b)
“Sweepstakes” means a procedure for awarding a prize that is based on chance. “Sweepstakes”
includes any such procedure in which a person is required to purchase anything,
pay anything of value or make a donation as a condition of winning a prize or
of receiving or obtaining information about a prize. “Sweepstakes” also
includes any such procedure that is advertised in a way that creates a
reasonable impression that a payment of anything of value, purchase of anything
or making a donation is a condition of winning a prize or receiving or
obtaining information about a prize.

(c)
“Clearly and conspicuously” means the message is conveyed in a manner that is
reasonably apparent to the audience to whom it is directed. In order for a
message to be considered clear and conspicuous, it shall, at a minimum:

(A)
Not contradict or substantially alter any terms it purports to clarify, explain
or otherwise relate to; and

(B)
In the case of printed solicitations:

(i)
Be in close proximity to the terms it purports to clarify, explain or otherwise
relate to; and

(ii)
Be of sufficient prominence in terms of placement, font or color contrast as
compared with the remainder of the solicitation so as to be reasonably apparent
to the audience to whom it is directed.

(2)
A person engages in an unlawful practice when, in the course of the person’s
business, vocation or occupation, the person uses the United States mail to
solicit participation in a contest and the person does not clearly and
conspicuously disclose in the solicitation:

(a)
The maximum number of rounds or levels, if the contest has more than one round
or level;

(b)
The date the final winner will be determined;

(c)
The maximum total cost the final winner will have paid to the sponsor to
participate in the contest;

(d)
Whether the final winner must purchase or pay anything of value to a person
other than the sponsor if purchasing or paying is a condition of eligibility;

(e)
If the contest involves multiple rounds of increasing difficulty, an example
illustrative of the last determinative round or a statement that subsequent
rounds will be more difficult;

(f)
If the contest is judged by someone other than the sponsor, the identity of or
description of the qualifications of the judges;

(g)
The method used in judging; and

(h)
The name and address of the sponsor or the sponsor’s agent.

(3)
A person engages in an unlawful practice when, in the course of the person’s
business, vocation or occupation, the person uses the United States mail to
solicit participation in a sweepstakes and does not clearly and conspicuously
disclose in the solicitation:

(a)
The odds of winning in Arabic numerals, except that if the odds of winning
depend on the number of entries received, a statement to that effect will be
deemed sufficient;

(b)
The name and address of the sponsor or the sponsor’s agent, consistently stated
wherever it is used; and

(c)
The procedure for entry without purchase.

(4)
A person engages in an unlawful practice when, in the course of the person’s
business, vocation or occupation, the person solicits participation in a
contest or sweepstakes:

(a)
By using the United States mail to represent that a person has been selected to
receive or has won a particular prize, when that is not the case; or

(b)
By using the United States mail to represent that a person is a winner, is a
finalist, is in first place or is otherwise in a limited group of persons with
an enhanced likelihood of winning or receiving a prize, when more than 25
percent of the persons receiving the solicitation have the same chance of
winning. [Formerly 646.651]

646A.806
Website with photographs and information about arrested persons; requirement to
remove photographs and information upon request; penalty. (1) A person
shall comply with subsection (2) of this section if the person:

(a)
Operates a website that disseminates photographic records of arrested
individuals made by law enforcement agencies pursuant to ORS 181.511 or
otherwise as part of routinely documenting an arrest; and

(b)
Charges a fee for the removal from the website of a photograph referred to in
paragraph (a) of this subsection and the name and personal information of the
individual associated with the photograph.

(2)
A person described in subsection (1) of this section shall remove the
photograph and related name and personal information from all websites owned or
controlled by the person without charging a fee within 30 days of the date of a
request to remove the photograph if the request:

(a)
Is made in writing; and

(b)
Contains written documentation that all charges stemming from the arrest for
which the photograph was made:

(A)
Were resolved through acquittal or otherwise without a conviction;

(B)
Were reduced to violations; or

(C)
Following conviction, were expunged or set aside pursuant to court order.

(3)
For purposes of this section, paper or electronic copies of official court
records or law enforcement records constitute written documentation.

(4)
A person who violates subsection (2) of this section commits an unlawful
practice under ORS 646.608. [2013 c.330 §1]